; ■ ■ ■ 

" .-  .'■:•■••  "v.  - :::  U •*..• 

• ■ V 

PRIVATE  GOLD  COINAGE 

• ’ ■'  lV  * : ' . - ..  V;  • ■ ' . ; • ' ■ ' ■ 

' • . •.■■■  ■ • 

. 0F  ■■ 

CALIFORNIA, 

- 

1849-5  5, 

ITS  HISTORY  AND  ITS  ISSUES. 


EDGAR  H.  ADAMS 


PRIVATE  GOLD  COINAGE 

OF 

CALIFORNIA, 

1849-55, 

ITS  HISTORY  AND  ITS  ISSUES. 


BY 

EDGAR  H.  ADAMS. 


EDGAR  H.  ADAMS. 

44 7A  STATE  STREET.  BROOKLYN,  N.  Y. 
1913. 


Grateful  acknowledgement  is  extended  to 
the  American  Numismatic  Society  for 
granting  permission  to  reprint  this  vol- 
ume, and  for  loaning  to  the  publisher 
Edgar  H.  Adams  own  copy  of  the  original 
book  which  was  copied  for  this  reprint 
edition. 


REPRINTED  FROM 

THE  AMERICAN  JOURNAL  OF  NUMISMATICS. 
1912. 


Copyright,  1912, 
Edgar  H.  Adams. 


PREFACE 


More  often  than  not,  when  the  subject  of  “pioneer  gold’’  occurs  in  coin  collecting 
circles,  it  is  spoken  of  somewhat  vaguely.  It  is  indeed  a topic  with  which  only  the  ad- 
vanced numismatist  tends  to  have  more  than  a cursory  acquaintance — and  largely  so  be- 
cause information  about  these  curious  coins  has  been  nearly  as  scarce  as  the  coins  them- 
selves. Primary  sources  of  information — the  private  letters  of  territorial  minters  and 
their  employees,  correspondence  among  governmental  officials,  and  “public”  documents — 
are  all  but  unavailable  to  the  collector ; and,  without  the  efforts  of  a skilled  numismatic 
researcher,  in  their  archival  itate  these  scattered  materials  would  probably  discourage  all 
but  the  most  zealous  private  collector  anyway.  Secondary  sources  of  information,  among 
the  best  of  which  is  the  volume  presented  here,  when  they  were  of  any  real  value  in 
the  first  place,  have  generally  been  long  out  of  print  and  their  information  available 
only  to  the  advanced  collector  who  sought  out  rare — and  usually  expensive — early  editions. 

In  reprinting  Edgar  H.  Adams’  1913  classic  book,  Private  Gold  Coinage  of  Cali- 
fornia, 1849-55,  the  present  publisher  offers  a key  source  of  enlightenment  to  the  col- 
lector and  numismatist  alike.  The  volume  is  thorough  but  not  scholarly,  detailed  but 
delightfully  lively,  and  an  orderly  appraisal  of  the  coinage  which  is  largely  free  from 
the  dull  cataloguing  that  characterizes  most  numismatic  studies.  For  this  is  not  merely 
a coin  book;  it  is  a work  of  social  history  as  well.  You  will  come  away  from  reading 
it  with  increased  knowledge  both  of  privately  minted  gold  coins  and  of  one  of  America’s 
most  adventurous  and  formative  eras.  And  you  will  discover  much  about  the  economic, 
social,  and  other  human  conditions  of  the  place  where  westward  expansion  saw  its  most 
vigorous  fulfillment — the  San  Francisco  of  the  1850s,  where  much  of  the  civilization  of 
the  American  East  transplanted  itself  in  the  course  of  less  than  a decade.  From  its 
story,  skillfully  reconstructed  by  Edgar  H.  Adams,  who  searched  western  libraries  for 
firsthand  information,  comes  a lasting  understanding  of  why  federal  coinage  took  the 
forms  it  did  in  the  far  West  in  the  years  following  the  disappearance  from  circulation 
of  the  numerous  issues  of  privately  minted  coins  made  from  local  gold.  This  book  is, 
in  short,  one  of  the  proverbial  wells  of  information  into  which  every  true  numismatist 


must  at  some  time  during  his  career  dip  his  cup.  The  collector  of  United  States  coins 
can  benefit  immensely  from  the  experience  of  reading  it. 

The  edition  offered  to  you  here  is  an  exact  replica — a facsimile  copy — of  the  first 
edition.  It  is  handsomely  and  sturdily  bound  so  that  it  may  become  a durable  part  of 
your  reference  book  collection.  Every  effort  has  been  made  to  bring  its  price  within 
the  limits  of  any  collector’s  budget.  May  you  glean  much  insight  and  immeasurable  de- 
light from  studying  its  pages! 


BRUCE  LORICH 

General  Editor 

Stack  pole  Numismatic  Books 


INTRODUCTION  TO  THE 
REPRINTED  EDITION 


Edgar  H.  Adams  was  certainly  one  of  the  most  brilliant  researchers  numismatics 
has  ever  known.  Although  his  interests  in  the  field  of  rare  coins  continued  until  his 
death  in  1940,  his  most  outstanding  efforts  date  from  the  decade  immediately  preceding 
the  First  World  War. 

His  book  United  States  Pattern,  Trial,  and  Experimental  Pieces,  written  together 
with  William  H.  Woodin  (later  to  become  Secretary  of  the  Treasury  under  Franklin 
Delano  Roosevelt),  was  published  in  1913  by  the  American  Numismatic  Society.  Telling 
the  story  of  pattern  coins — “what  might  have  been,”  but  wasn’t,  in  U.  S.  coinage — this 
book  has  endured  through  the  decades.  All  references  to  pattern  coins  written  since  that 
time  invariably  have  drawn  upon  Edgar  H.  Adams’  original  research. 

Shortly  after  the  turn  of  the  twentieth  century  Edgar  H.  Adams  began  in  earnest 
to  study  the  field  of  territorial  and  “pioneer”  gold  coins.  In  1909  his  Official  Premium 
List  of  United  States  Private  and  Territorial  Gold  Coins  was  published.  Shortly  there- 
after, his  detailed  research  into  the  background  and  history  of  these  pieces  began  to 
appear  in  serial  form  in  the  American  Journal  of  Numismatics,  official  journal  of  the 
American  Numismatic  Society.  At  the  conclusion  of  this  series  some  revisions  were 
made,  and  the  entire  effort  was  privately  published  in  book  form  in  1913  as  Private 
Gold  Coinage  of  California,  1849-55,  the  volume  now  reprinted  here. 

At  the  same  time  Edgar  H.  Adams  somehow  was  able  to  contribute  a regular  monthly 
column,  “Current  American  Numismatic  Notes,”  to  The  Numismatist,  journal  of  the 
American  Numismatic  Association — an  organization  which  in  the  intervening  years  has 
grown  to  become  the  largest  nonprofit  coin  collectors’  organization  in  the  world. 

Edgar  Adams  seems  to  have  had  an  eye  for  both  the  significant  and  the  interesting. 
This  combination,  when  processed  through  Mr.  Adams’  mind  and  put  on  paper,  pro- 
duced writings  that  were  and  still  are  fascinating  to  read. 

The  book  now  in  your  hands  combines  material  gleaned  from  standard  references 
such  as  the  newspaper  Alta  California  and  the  seemingly  endless  writings  of  Hubert 
Howe  Bancroft  with  facts  taken  from  other  sources  of  information  which  only  Edgar  H. 


Adams’  persistence  could  seek  out.  The  sands  of  time  cover  many  tracks,  and  it  is  safe 
to  say  that  had  it  not  been  for  Mr.  Adams’  efforts  earlier  in  this  century  much  of  the 
body  of  knowledge  known  to  numismatists  on  the  subject  today  would  have  to  be  based 
on  conjecture  rather  than  fact. 

Private  Cold  Coinage  of  California,  1840-55  has  well  stood  the  test  of  time  and 
use.  No  other  definitive  reference  on  the  series  has  ever  been  published.  While  addi- 
tional information  concerning  certain  coins  and  coiners  has  come  to  light,  the  Adams  book 
remains  as  the  central  informational  source  for  numismatists  and  scholars. 

In  my  own  research  on  the  subject  of  gold  and  gold  coins  I have  built  a sizable 
library.  Stirred  by  the  romance  of  the  Gold  Rush,  countless  authors  have  hastened  into 
print  with  “histories”  of  the  era.  Perhaps  ninety  percent  of  these  are  composed  of  veneer 
but  lack  a foundation.  “Read  one  and  you  have  read  them  all” — so  the  saying  goes.  Xot 
so  with  Adams’  book.  It  duplicates  no  book  before  it  and,  as  noted,  no  book  has  fol- 
lowed in  its  steps  since  1913. 

Money  pervades  all  strata  of  mankind.  Indeed,  wealth  and  money  provided  the 
motivation  for  the  Gold  Rush  itself.  Adams’  book,  being  the  standard  reference  on  the 
subject,  is  thus  a key  source  for  anyone  interested  in  the  monetary  and  economic  aspects 
of  America’s  Golden  Age.  In  a broader  sense  it  contributes  social  and  political  infor- 
mation as  well. 

Numismatists  will  certainly  want  this  book,  for  it  has  been  long  out  of  print.  His- 
torians, libraries,  and  others  interested  in  facts,  not  fiction,  about  the  Gold  Rush  will  find 
it  equally  valuable — because  within  the  covers  of  this  book  can  be  found  information  avail- 
able from  no  other  single  source. 


O.  DAVID  BOWERS 


CONTENTS. 


Introduction 

I.  The  State  Assay  Office  of  California 

II.  The  Moffat  & Co.  Issues,  San  Francisco,  1849-53: 

Moffat  Ingots  and  Pieces  — Dealings  with  the  United  States  Government  — The 
United  States  Assay  Office  — Augustus  Humbert  and  the  United  States  Ingots  — 
Curtis,  Perry  & Ward 

III.  Various  Californian  Private  Mints,  1849-55: 

The  Pacific  Company,  1849 — Cincinnati  Mining  and  Trading  Company,  1849 — J.  S. 
Ormsby  & Co.  (Sacramento),  1849  — Norris,  Gregg  & Norris,  1849  — Templeton  Reid, 
1849 — Massachusetts  and  California  Company,  1849 — Miners’  Bank,  1849-50  — 
Dubosq  & Co.,  1850  — Baldwin  & Co.,  1850-51  — Shultz  & Co.,  1851  — Dunbar  & 
Co.,  1851 — Wass,  Molitor  & Co.,  1852-55  — Kellogg  & Co.,  1854-55  — Additional 
Notes  — Sketches  of  John  L.  Moffat  and  George  F.  A.  Kiiner 

IV.  Pattern  and  Experimental  Pieces  of  California  : 

Theodore  Dubosq  — Massachusetts  and  California  Company  — Miners’  Bank  — 
Pacific  Company — Columbus  Company — Moran  & Clark  — Cincinnati  Mining  and 
Trading  Company  — “San  Francisco  Standard  Mint” — Meyers  & Co.  — J.  S. 
Ormsby  & Co.  — J.  H.  Bowie  — Pelican  Company  — “California  Gold  Mines”  — 
“San  Francisco,  State  of  California”  — Augustus  Humbert  (1851-53)  — Moffat  & Co. 
— Wass,  Molitor  & Co.  (1855)  — Kellogg  & Co.  — Blake  & Co.,  Sacramento  (1856) 
— Baldwin  & Co.  (1850-51)  — H.  Schaeffer  — The  “Model”  Series  — Markers  or 
Counters  ............... 


PRIVATE  GOLD  COINAGE 


INTRODUCTION. 


The  private  gold  coins  struck  in  California  from  1849  t0  1855  inclusive,  which 
passed  as  money,  form  one  of  the  most  interesting  series  of  pieces  that  have  ever  been 
issued  in  this  country ; for  they  were  intimately  connected  with  a time  which,  with  the 
exception  of  the  Wars  of  the  Revolution,  of  1812,  and  of  1861,  was  one  of  the  most 
sensational  in  our  national  history.  The  discovery  of  gold  in  California  and  the  develop- 
ment of  its  mines  during  one  of  the  most  stringent  financial  periods  through  which  this 
country  has  ever  passed  abruptly  ended  what  has  since  become  proverbial  as  the  “ Hard 
Times.”  The  enormous  product  of  the  precious  metal  thus  thrown  upon  the  markets  of 
the  world,  immediately  placed  our  country  on  that  solid  and  prosperous  basis  which  it 
has  ever  since  maintained,  for  the  achievement  of  this  result  was  unquestionably  due  to 
the  yield  from  the  California  mines  more  than  to  any  other  single  agency.1 

The  “ Days  of  ’49  ” are  recalled  by  no  more  emphatic  reminders  than  the  gold 
pieces  of  various  denominations,  issued  at  that  time  and  now  so  carefully  treasured  by 
our  numismatists  ; the  study  of  these  pieces  and  a search  for  the  details  of  their  origin 
bring  to  light  many  interesting  and  important  facts  which  have  become  submerged  by 
time.  The  reason  for  striking  the  famous  octagonal  Fifty  Dollar  slug,  that  mute  yet 
eloquent  relic  of  the  great  bonanza  days,  is  only  revealed  by  a study  of  the  newspapers 
of  the  period.  The  first  issue  of  private  gold  in  California  was  evidently  suggested  by 
some  one  familiar  with  similar  pieces,  or  who  had  been  engaged  in  making  them  in 
Georgia  or  North  Carolina.  Gold  bearing  private  stamps  of  various  denominations  had 
been  coined  as  early  as  1830  by  Templeton  Reid,  an  assayer  located  near  the  gold  mines 
of  Georgia;  his  example  was  followed  in  1831  by  Christopher  Bechtler  at  Rutherford- 
ton,  N.  C.,  and  the  latter  was  still  operating  at  the  time  of  the  great  California  dis- 
coveries in  1848,  while  Reid  (though  from  what  can  be  learned,  his  private  mint  was 


1 In  giving  a risumi  of  the  circumstances  which  led 
to  the  origin,  development  and  final  discontinuance  of 
the  private  gold  coinage  of  California,  the  chronologi- 
cal order  has  been  followed  as  far  as  feasible.  Copies 
of  original  documents  (not  already  printed)  on  which 
the  statements  in  this  series  of  papers  are  based,  are 
given,  but  descriptions  of  the  pieces  are  omitted  here ; 


they  are  printed  under  the  sketches  of  the  coiners. 
Occasional  repetitions,  which  however  seemed  neces- 
sary to  a clear  understanding  of  the  subject,  will  be 
noticed,  but  these  have  been  condensed  as  far  as  pos- 
sible, and  references  given  to  more  extended  accounts 
in  the  text. 


(v) 


VI 


PRIVATE  GOLD  COINAGE. 


then  no  longer  in  operation)  was  contemplating  the  transfer  of  his  business  to  California, 
the  evidence  for  which  is  furnished  by  the  Ten  and  Twenty-five  Dollar  pieces  bearing 
his  name  and  California. 

The  right  of  private  persons  to  issue  gold  coins  had  never  been  seriously  questioned 
by  the  Government  authorities  ; the  Bechtler  mint,  for  example,  was  in  full  operation 
long  after  the  regular  United  States  Branch  Mint  had  begun  business  at  Charlotte, 
N.  C. ; when  therefore  California  felt  the  need  of  such  an  issue,  to  replace  the  common 
currency  of  gold-dust,  no  one  disputed  the  right  of  the  private  mints  to  supply  it.  This 
need  became  imperative  in  the  summer  of  1848,  when  there  was  little  or  no  gold  or 
silver  coin  with  which  to  pay  Customs  duties,  and  Governor  Mason  was  asked  to  provide 
some  means  of  relief.  He  at  once  instructed  the  Collector  to  receive  gold-dust  at  its 
then  intrinsic  value — $16  to  the  ounce.  Soon  learning,  however,  that  this  was  a 
violation  of  the  United  States  law,  which  specifically  provided  that  Customs  duties 
should  be  payable  only  in  coin,  he  was  forced  to  revoke  the  order,  but  permitted  the 
merchants  to  deposit  their  gold-dust  at  the  Custom  House  at  the  rate  of  $10  an  ounce, 
with  the  privilege  of  redeeming  it  in  the  prescribed  coin  within  sixty  days ; otherwise  it 
was  sold  at  auction,  and  as  such  coin  was  almost  unobtainable,  they  were  compelled  to 
stand  hopelessly  by  and  see  their  gold-dust,  which  was  worth  more  than  $ 1 8 an  ounce  at 
the  Philadelphia  Mint,  sold  at  from  56  to  58  an  ounce  to  the  highest  bidder  — in  most 
cases  to  a speculator  who  had  somehow  come  into  the  possession  of  acceptable  coin. 

The  following  order  for  disposition  of  the  gold-dust,  if  not  redeemed,  shows  the 
attitude  of  the  authorities  : 

State  Department,  Territory  of  California. 

Monterey , September  10,  1848. 

Sir: — . ...  As  soon  as  the  time  of  redemption  of  the  gold-dust  in  your  hands  received  on  de- 
posit as  security  of  the  payment  of  duties  expires,  you  will  give  due  notice,  and  sell  it  at  public  auction. 
In  order  that  there  may  be  no  loss  to  the  revenue,  you  will  bid  it  in  at  the  value  for  which  it  was  depos- 
ited. If  it  sells  for  more,  the  surplus,  after  the  expenses  of  sale  are  deducted,  will  be  paid  over  to  the 
depositors.  The  gold-dust  received  in  payment  of  duties,  with  the  privilege  of  redemption,  of  course 
becomes  the  property  of  the  United  States  if  not  redeemed  at  the  expiration  of  the  time  specified, 
without  any  sale. 

Respectfully,  your  obedient  servant, 

H.  W.  Halleck, 

Lieutenant  of  Engineers  and  Secretary  of  State. 

Captain  J.  L.  Folsom, 

San  Francisco,  California. 

July  22,  1848,  the  San  Francisco  merchants  met  to  devise  means  to  protect  themselves 
against  this  heavy  loss,  and  passed  Resolutions  requesting  the  Governor  to  extend  the  privilege 
of  redemption  to  a maximum  period  of  six  months ; he  replied  that  he  would  instruct  the 
Collector  to  receive  gold-dust  for  duties,  allowing  the  owner  to  redeem  one-half  with  gold  or 
silver  coin  at  any  time  within  ninety  days,  and  the  other  half  by  a like  payment  within  one 
hundred  and  eighty  days ; but  this  was  to  be  merely  a temporary  agreement,  due  to  the  scarcity 
of  coin.  He  would  gladly  comply  with  the  wishes  of  the  citizens  by  making  the  whole  redeem- 
able as  desired,  but  this  would  virtually  cut  off  the  customs  receipts  for  six  months,  and  be  too 


INTRODUCTION. 


vii 

much  of  a departure  from  his  instructions  to  collect  the  duties  in  gold  and  silver  coin  exclusively. 
In  his  letter  the  Governor  (Col.  Richard  B.  Mason)  said:  — “ . . . Although  I am  ordered 
to  collect  [the  duties]  in  cash,  provided  the  gold-dust  is  taken  at  a rate  low  enough  to  make  it 
certain  that  the  merchant  will  redeem  it  at  the  stipulated  time,  and,  if  he  does  not,  that  there 
will  be  no  doubt  that  the  duties  can  be  realized  at  once  by  putting  it  up  at  auction,  if  the  money 
be  immediately  required,”  he  would  direct  the  Collector  to  receive  it,  and  continues : 

You  will  readily  perceive  the  situation  in  which  I am  placed.  A large  amount  of  duties  will  be 
received  at  San  Francisco.  Should  some  ten  or  twenty  thousand  dollars  of  this  gold-dust  received  at 
the  Custom  House,  reckoning  at  the  rate  per  ounce  at  which  it  will  be  received,  fail  to  be  redeemed 
at  the  stipulated  time,  and  I should  be  forced  by  the  want  of  funds  to  throw  suddenly  this  large  amount 
into  market  to  be  sold  for  cash,  and  it  should  not  bring  this  sum,  I at  once  become  and  am  held 
personally  and  individually  responsible  and  accountable  to  the  Department  at  Washington  for  the  loss 
sustained  in  consequence  of  the  departure  from  my  orders  and  instructions. 

I am  very  sure  that  none  of  the  merchants  of  your  town  would  desire  to  see  me  assume  a risk  of 
becoming  pecuniarily  involved  by  departing  from  my  instructions  for  their  accommodation ; and  there- 
fore I feel,  by  departing  from  my  orders  in  this  instance,  in  permitting  goods,  wares,  and  merchandise 
to  go  at  once  into  the  market,  and  waiting  three  and  six  months  before  the  duties  can  be  realized,  that 
the  precautions  I take  to  guard  both  the  public  and  myself  from  any  loss  are  not  unreasonable  or 
greater  than  the  occasion  calls  for. 

I shall  strongly  recommend,  in  my  first  communication  to  the  Department,  the  immediate  estab- 
lishment of  a mint  in  Upper  California. 

R.  B.  Mason, 

Colonel  ist  Dragoons , and  Governor  of  California. 


As  every  piece  of  coined  money,  whether  of  gold  or  silver,  was  hoarded  by  im- 
porters to  pay  duties,  there  was  the  greatest  scarcity  of  currency  in  the  ordinary  chan- 
nels of  trade.  When  this  became  evident,  a stream  of  gold  and  silver  coins  of  all 
nationalities  and  denominations  began  to  flow  toward  California  ; there  were  the  Spanish 
and  Mexican  Dollars,  or  Ounces,  with  their  fractions,  and  the  Dollars  of  Peru,  Ecuador 
and  Bolivia,  nearly  all  of  superior  value  and  held  above  par.  To  these  were  added  great 
numbers  of  French  Five  Franc  pieces,  intrinsically  worth  but  ninety-three  cents,  yet 
passing  (except  at  the  Custom  House)  for  One  Dollar.  For  a fractional  currency,  all 
kinds  of  minor  silver  coins  were  accepted,  and  an  immense  flood  of  Spanish  Pesetas, 
French  Francs  and  Austrian  Zwanzigers  soon  found  its  way  into  circulation;  none  of 
these  had  an  intrinsic  value  of  even  twenty  cents,  but  as  nothing  could  be  purchased 
for  less  than  “ two  bits,”  or  twenty-five  cents,  all  silver  approximating  the  size  of  an 
American  Quarter  passed  for  that  amount,  and  because  of  these  peculiar  conditions 
coin  speculators  reaped  a rich  harvest. 

Certain  silver  coins  were  equally  acceptable  with  those  of  gold  for  duties,  and  the 
spectacle  was  daily  presented  of  a merchant  paying  a premium  in  gold-dust  for  silver,  to 
remove  his  goods  from  the  Custom  House.  Silver  was  also  required  for  purchases  in 
China  ; under  no  conditions  would  the  Orientals  accept  gold  for  their  merchandise,  and 
thus  the  San  Francisco  buyers  were  compelled  to  pay  a premium  in  gold  for  silver  coins 
in  another  instance  — a remarkable  example  of  the  important  part  played  by  that  now 
despised  metal  in  this  greatest  of  the  days  of  gold. 


PRIVATE  GOLD  COINAGE. 


viii 


As  the  supply  was  so  extremely  limited,  it  was  then  proposed  that  private  assayers 
issue  gold  pieces  to  fill  the  need,  as  had  been  done  in  other  parts  of  the  United  States 
under  similar  circumstances  of  necessity,  and  which  might  be  used  as  a substitute  for 
dust.  We  find  the  first  suggestion  of  such  a coinage  in  a letter  to  the  Governor,  dated 
July  27,  1848,  in  which  a number  of  San  Francisco’s  prominent  citizens,  among  whom 
were  Walter  Colton,  Talbot  H.  Green,  J.  S.  Ruckle,  Thomas  O.  Larkin,  C.  Wooster, 
Milton  Little,  J.  Spence  and  Jose  Abrigo,  outlined  the  embarrassing  state  of  affairs 
caused  by  the  lack  of  a suitable  currency,  and  requested  him  to  sanction  such  an  issue. 
On  the  following  day  the  Governor  replied  : 

Headquarters  Tenth  Military  Department, 

Monterey , California , July  28,  1848. 

Gentlemen : I have  the  honor  to  acknowledge  the  receipt  of  your  communication  of  yesterday’s 
date.  Under  the  circumstances  you  mention,  and  which  are  so  well  known  to  me,  — the  almost  entire 
absence  of  gold  and  silver  coin  — I have  no  hesitation  in  saying  that,  if  the  California  grain  gold,  now 
in  such  abundant  quantities  in  the  country,  can  be  wrought  into  convenient  shapes,  so  as  to  answer  as 
a substitute  for  gold  and  silver  coin,  I will  order  it  to  be  received  at  the  Custom  House  in  payment  of 
duties,  at  its  intrinsic  value. 

I am,  respectfully,  your  obedient  servant, 

R.  B.  Mason, 

Colonel  1st  Dragoons , Governor  of  California. 

Before  the  petitioners  had  time  to  act  under  this  authority  the  Governor  learned 
that  his  order  was  illegal,  and  on  August  8,  1848,  revoked  the  permission  in  the  follow- 
ing letter : 

Headquarters  Tenth  Military  Department, 

Monterey , California , August  8,  1848. 

Gentlemen : — In  my  letter  of  the  28th  of  July,  replying  to  yours  of  the  day  previous,  you  were 
informed  that  “ if  the  California  grain  gold  could  be  wrought  into  convenient  shapes,  so  as  to  answer 
as  a substitute  for  gold  and  silver  coin,  I would  order  it  to  be  received  at  the  Custom  House  in  payment 
of  duties,  at  its  intrinsic  value.”  By  reference  to  the  Act  of  Congress,  approved  August  6,  1846,  you 
will  see  that  it  would  be  manifestly  illegal  for  me  to  do  so.  I was  not  aware  of  all  the  requirements 
and  prohibitions  of  that  Act,  at  the  date  of  my  letter  above  mentioned. 

I am,  respectfully,  your  obedient  servant, 

R.  B.  Mason, 

Colonel  1st  Dragoons , Governor  of  California. 

Messrs.  Walter  Colton,  T.  H.  Green,  J.  S.  Ruckle,  T.  O.  Larkin,  C.  Wooster,  Milton  Little,  J.  Spence, 

and  J.  Abrigo. 

On  September  9,  1848,  the  greatest  public  meeting  ever  held  in  California  up  to 
that  time  assembled  in  San  Francisco  to  fix  a definite  value  for  gold-dust.  Dr.  T.  M. 
Leavenworth  was  Chairman,  and  J.  D.  Hoppe  Secretary  of  the  meeting.  As  this  was 
a matter  of  vital  importance  to  the  miners,  they  came  in  great  numbers  from  all  parts 
of  the  State.  As  a result  the  current  value  of  gold-dust  was  settled  upon  at  $16  per 
ounce,  but  much  dissatisfaction  was  felt  at  this  decision,  for  it  was  well  known  that  good 
California  raw  gold  was  worth  gi8  and  more,  per  ounce. 


INTRODUCTION. 


IX 


Early  in  1849  the  private  issues  began  to  appear,  releasing  the  coins  hoarded  for 
duties  and  providing  a means  by  which  the  miners  received  considerably  more  for  their 
dust  than  the  established  rate.  It  is  difficult  to  determine  the  exact  date  of  their  advent, 
but  undoubtedly  there  were  none  struck  for  circulation  before  1849.  “The  Digger’s 
Handbook,”  published  at  Sydney,  New  South  Wales,  evidently  early  in  that  year, 
stated : 

There  is  no  coinage  in  the  country.  A Company,  however,  has  been  formed,  which  has 
imported  from  the  United  States  all  the  material  necessary  for  striking  coins,  and  it  is  doubt- 
less at  the  present  time  in  full  operation  ; that  is,  if  it  has  succeeded  in  procuring  coal  to  carry 
on  the  works,  for  wood  is  here  much  too  dear  for  the  purpose. 

There  is  proof  that  a private  gold  coin  had  made  its  appearance  at  least  before 
May  31,  1849,  for  the  “Alta  California”  of  that  date  mentioned  a “Five  Dollar  gold 
coin,  struck  at  Benicia  City,  though  the  imprint  is  San  Francisco It  bears  the  pri- 

vate stamp  of  Norris,  Gregg  & Norris.”  ' Moffat  & Co.,  who  were  doing  an  assaying 
and  gold  brokerage  business  in  San  Francisco  during  the  summer  of  1849,  issued  rectan- 
gular ingots  of  gold,  which  passed  current  in  place  of  circular  coins,  and  in  the  latter 
part  of  July  or  the  first  of  August,  a circular  Ten  Dollar  piece  appeared,  bearing  their 
private  stamp,  the  first  of  that  denomination  to  be  struck  in  California  and  the  second 
coin  made  in  that  State  from  native  gold  by  private  coiners,  the  Five  Dollar  piece  above 
mentioned  alone  being  earlier.  The  closing  months  of  1849  saw  a perfect  avalanche  of 
private  gold.  Every  big  Company  coming  from  the  East,  says  one  pioneer,  brought 
machinery  for  coining.  Many  of  their  issues  were  of  greatly  varying  value,  and  bore 
interesting  and  original  devices,  and  some  followed  the  types  of  the  regular  coinage  so 
closely  that  careful  scrutiny  was  required  to  distinguish  them. 

To  swell  the  total  came  two  intruders  from  neighboring  territories  — the  wonder- 
fully debased  “Great  Salt  Lake  City  Pure  Gold”  pieces  (the  net  value  of  the  Twenty 
Dollar  piece  being  only  a little  over  $17)  of  curious  designs,  struck  by  the  Mormons, 
and  Five  and  Ten  Dollars  of  Oregon,  much  better  in  quality  and  held  at  par.  The 
Miners’  Bank  Tens  were  intrinsically  worth  $9.87 ; the  Ormsby  Tens,  $9.37 ; the 
Pacific  Company’s  pieces,  $4.48  and  £7.86*  respectively ; the  Cincinnati  Mining  and 
Trading  Company’s  coins  were  valued  at  $4.95  and  $9.70;  the  Ten  and  Twenty-five 
Dollars  of  Templeton  Reid  at  £9.75  and  £24.50;  the  Moffat  Tens  at  £9.77.7,  and  the 
Half  Eagle  of  Norris,  Gregg  & Norris  about  £4.90. 

These  were  the  coins  with  which  the  early  Californians  had  to  do  business,  and 
many  of  them  speedily  fell  into  disrepute  : — first,  the  Mormon  coins,  which  were  refused 
by  all,  when  their  spuriousness  was  once  revealed  ; the  Miners’  Bank  gold  next  came 
into  disfavor,  and  was  only  accepted  at  twenty  per  cent,  discount.  Both  issues  were 
soon  driven  from  circulation,  and  those  who  owned  them  were  forced  to  sell  them  at 
their  bullion  value  and  pocket  the  loss.  Many  others  ceased  to  appear  in  1850,  among 
them  those  of  the  Pacific,  the  Massachusetts  and  California,  the  Cincinnati  Mining  and 
Trading  Companies,  the  Ormsby,  the  Norris,  Gregg  & Norris  and  the  Templeton  Reid 
pieces.  Those  of  Moffat  & Co.  alone  survived  the  struggle  of  1849  — that  is,  they  were 

2 See  page  61. 


1 See  page  66. 


X 


PRIVATE  GOLD  COINAGE. 


the  only  ones  which  bear  the  date  of  1850  that  were  struck  by  firms  minting  private 
coins  in  the  previous  year.  Two  new  concerns  were  however  added  to  the  roll  — Bald- 
win & Co.  and  Dubosq  & Co.  — while  Frederick  D.  Kohler,  the  newly  appointed  State 
Assayer,  began  the  issue  of  rectangular  ingots  of  specified  but  greatly  varying  value, 
which  served  the  purpose  of  a circulating  medium. 

The  offspring  of  the  mints  that  had  ceased  coining  still  continued  to  clog  the 
wheels  of  business,  though  many  of  the  pieces  had  an  intrinsic  value  very  close  to  that 
stamped  upon  them.  The  private  issues  had  doubtless  been  of  great  value  at  a critical 
time,  increasing  the  value  of  raw  gold,  but  some  coiners,  not  satisfied  with  a fair  profit, 
had  debased  their  products  to  such  an  extent  that  suspicion  fell  on  the  whole  series  and 
stirred  the  business  men  into  action  to  provide  some  plan  for  relief.  The  result  was  that 
at  the  session  of  the  State  Legislature  held  at  San  Jose  in  1849-50,  Mr.  Woodworth, 
one  of  the  members,  introduced  a bill  in  relation  to  such  coin,  which  he  termed  “coun- 
terfeit,” as  follows : 

Whereas , Certain  persons  have  made  or  caused  to  be  made  and  circulated  pieces  said  to  be  of 
gold  of  various  denominations,  and  since  the  issue  and  circulation  of  said  pieces  representing  coin  the 
persons  so  causing  such  coin  to  be  made  and  circulated  have  refused  to  redeem  the  same  in  legal  money 
of  the  United  States,  thereby  imposing  on  the  people  of  this  State  a large  amount  of  spurious  coin, 
some  of  which  being  made  in  such  close  imitation  of  the  coin  of  the  United  States  so  as  to  deceive  the 
ignorant  as  to  its  proper  character. 

Whereas,  The  making  and  circulating  of  pieces  of  metal  representing  the  coin  of  the  United 
States  is  in  direct  violation  of  an  Act  of  Congress,  and  subjects  the  maker  or  passer  of  such  coin  to  the 
penalty  imposed  upon  coiners  and  counterfeiters,  and  whereas  great  loss  has  been  sustained  by  holders 
of  this  spurious  coin,  Therefore, 

Be  it  Resolved , By  the  Senate  and  Assembly  of  California,  that  all  such  persons  as  have  made 
or  caused  to  be  made  and  circulated  such  representations  of  money  be  compelled  by  this  Act  to  redeem 
all  such  pieces  of  coin  or  money  as  they  may  have  issued  or  caused  to  be  issued,  within  thirty  days  after 
the  passage  of  this  Act.  And  all  such  persons  refusing  to  redeem  the  same  within  the  time  prescribed 
by  the  law  in  good  and  lawful  money  of  the  United  States,  and  all  persons  who  shall  hereafter  make  or 
cause  to  be  made,  or  issue  or  cause  to  be  issued,  any  “ tokens,”  coins,  or  pieces  of  metal  or  other  sub- 
stances representing  money,  shall  be  guilty  of  a misdemeanor  and  subject  to  such  penalties  as  are 
imposed  by  the  laws  of  the  United  States  upon  counterfeiters  and  coiners. 

This  bill,  which  was  printed  in  “Alta  California,”  January  26,  1850,  seemed  to 
meet  the  existing  conditions  so  adequately  that  it  drew  forth  a long  editorial  on  the  same 
date,  disapproving  private  coinage  and  suggesting  that  the  system  be  discontinued.  The 
writer  said : 

It  is  well  known  that  a great  variety  of  pieces,  presumed  to  be  gold,  have  been  issued  in  San 
Francisco  and  the  river  towns,  of  various  denominations  or  value,  from  $5  to  $10,  or  stated  to  be  of 
that  value,  and  thrown  into  active  circulation.  When  they  were  first  coined  no  serious  objection  was 
entertained  against  them,  but  they  were  rather  regarded  as  a matter  of  convenience,  the  amount  of  cur- 
rent coin  in  the  country  being  extremely  limited,  while  “ dust  ” was  abundant.  It  was  also  given  out  by 
the  parties  issuing  these  pieces  that  they  would  be  redeemed,  upon  presentation,  with  current  coin  of 
the  United  States  at  par.  Subsequently  it  was  announced  that  they  would  be  redeemed  with  dust 
only.  They  were  regarded  at  the  Custom  House  as  an  illegal  tender,  and  were  refused  in  payment  of 
duties,  and  at  the  Post-office  were  not  received  in  payment  of  postage.  Many  mercantile  firms  have 
denied  them,  and  none  of  the  brokers  would  take  them  at  their  par  value.  This  state  of  things  exists 


INTRODUCTION. 


xi 


at  the  present  time.  They  are  looked  upon  with  suspicion  and  distrust.  Issued  by  individuals  or  self- 
constituted  banking  institutions,  the  public  have  no  evidence,  other  than  the  asseveration  which  they 
bear  upon  their  face,  of  their  value  or  of  their  purity.  That  they  are  perfectly  illegal  is  clearly  mani- 
fest, if  not  absolutely  counterfeit  coins.  It  has  been  contended  by  many  persons  that  according  to  the 
strict  construction  of  the  law  they  are  absolutely  counterfeits  of  the  United  States  coins,  as  it  is  not 
necessary  that  they  should  be  of  the  exact  similitude  of  the  legalized  coin  of  the  United  States  Mint. 
They  purport  to  be  of  the  same  value  and  weight,  and  are  of  the  same  size  and  general  appearance  as 
the  standard  coin.  We  coincide  with  this  view  of  the  matter,  and  are  decidedly  of  the  opinion  that 
they  come  within  the  full  meaning  of  the  law.  That  the  “ tokens  ” that  have  been  issued  are  of  the 
value  they  profess  to  be  we  do  not  mean  to  question.  We  believe  them  to  be  so,  but  we  cannot  coun- 
tenance a system  which,  if  suffered  to  exist  any  longer,  will  be  the  cause  of  defrauding  the  community 
to  the  greatest  extent. 


This  bill  and  the  editorial  comment  elicited  a strong  reply  from  Moffat  & Co., 
which  is  given  below  : 


The  Resolution  offered  in  the  House  of  Assembly  by  the  Hon.  Mr.  Woodworth,  in  regard  to  the 
issue  of  coin  by  individuals,  and  your  remarks  thereon,  published  in  Saturday’s  edition,  have  met  our 
observation,  and  as  we  are  engaged  in  the  manufacture  of  $5  and  $10  pieces  we  beg  leave  to  use  your 
columns  through  which  to  offer  some  vindication  of  our  character  and  standing  from  the  charge  of 
being  counterfeiters  and  open  violators  of  the  laws  of  the  United  States,  and  to  assure  the  public  that 
whenever  Congress  shall  enact  laws  forbidding  the  manufacture  of  gold  into  pieces  representing  coin 
by  individuals,  we  shall  bow  with  the  greatest  respect  to  such  law. 

Private  mints  have  been  in  operation  for  many  years  in  the  United  States,  and  have  been  the 
subject  of  consideration  and  complaint  by  the  Director  of  the  Government  Mint  in  his  reports  to  Con- 
gress. The  establishments  for  this  purpose  have  been  that  of  Templeton  Reid  of  Georgia,  now  dis- 
continued, and  that  of  Christopher  Bechtler  in  North  Carolina,  still  in  operation.  This  mint  is  located 
at  Rutherford  ton,  N.  C.,  and  is  of  considerable  importance.  Its  operations  were  commenced  in  1831, 
and  are  still  carried  on,  although  there  is  a Branch  Mint  of  the  United  States  less  than  eighty  miles 
distant.  Mr.  Bechtler  has  stated  the  amount  of  his  coinage  to  February,  1840  (nine  years),  at 
§2,241,890. 

An  assay  of  the  coinage  of  Mr.  Bechtler  by  the  Mint  of  the  United  States  developed  the  fact  that 
his  $5  pieces  on  the  average  were  worth  but  §4.84,  and  this  practice  is  still  going  on  in  the  United 
States,  not  only  where  the  necessity  does  not  exist  for  want  of  a circulating  medium,  but  directly  at  the 
portals  of  the  Mint  of  the  United  States;  and  nothing  is  done  to  prevent  it  by  the  public  authorities 
because  no  law  forbidding  it  exists.  The  Director  of  the  Mint,  in  his  Report  to  Congress  for  the  year 
1840,  after  a brief  statement  in  relation  to  Mr.  Bechtler’s  coinage,  observed : ‘It  seems  strange  that 
the  privilege  of  coinage  should  be  carefully  confined  by  law  to  the  General  Government,  while  that  of 
coining  gold  and  silver,  though  withheld  from  the  States,  is  freely  permitted  to  individuals,  with  the 
single  restriction  that  they  must  not  imitate  the  coinage  established  by  law.’1  We  cannot  but  believe 
that  had  there  existed  any  law  against  the  coining  operations  of  Mr.  Bechtler  or  other  individuals,  the 
Director  of  the  Mint,  and  those  upon  whom  it  devolved  to  see  that  so  important  an  interest  of  the 
United  States  should  be  protected,  would  have  enforced  it.  But  we  do  not  place  ourselves  in  the  cate 
gory  designated  in  the  Resolutions  referred  to.  We  aver  that  we  have  violated  no  law  of  the  United 
States  in  regard  to  coining  money ; that  we  have  defrauded  no  man  of  one  cent  by  the  issuing  of  our 
coin;  that  we  have  in  no  instance  refused  or  failed  to  redeem  in  current  coin  of  the  United  States  all 
of  such  issues  without  detention  or  delay,  and  we  hold  ourselves  ready  now  and  at  all  times  hereafter  to 


1 It  will  not  escape  the  reader’s  notice  that  while 
Moffat  & Co.,  by  this  quotation,  acknowledge  that  they 
were  aware  that  coiners  “ must  not  imitate  the  coinage 
established  by  law,”  they  entirely  ignore,  in  their  reply, 
the  fact  that  their  $5  and  5io  pieces  very  closely  imi- 


tated the  national  coins  of  those  values  — the  chief 
difference,  to  the  ordinary  observer,  being  in  the  legends 
alone.  The  various  Bechtler  issues  and  those  of  Reid, 
on  the  contrary,  bore  no  resemblance  to  United  States 
money. 


PRIVATE  GOLD  COINAGE. 


xii 

do  so.  We  have  too  high  an  opinion  of  the  wisdom  and  good  sense  of  the  Legislature  of  this  State  to 
believe  that  they  will  pass  any  Act  in  pursuance  of  the  Resolutions  referred  to,  as  the  subject  belongs 
only  to  Congress,  and  is  not  usurped  or  interfered  with  by  any  of  the  State  authorities.  In  regard  to 
the  value  of  our  coin,  we  assert,  and  submit  it  to  the  test  of  any  assaying  establishment,  that  each  piece 
is  worth  more  than  it  purports  to  be,  and  will  pay  a handsome  profit  to  any  one  who  will  take  them  to 
the  Government  in  bullion. 

While  upon  this  subject  we  beg  your  permission  to  say  a few  words  in  regard  to  another  source 
of  complaint  by  some,  in  connection  with  our  business.  We  refer  to  the  bars  or  ingots  prepared  for 
merchants,  bankers  and  others,  for  export.  We  have  been  called  on  in  some  instances  to  redeem  such 
in  current  coin,  because  our  name,  together  with  the  carat,  and  weight,  is  stamped  thereon ; the  unrea- 
sonableness of  this  requirement  must  be  manifest  to  every  reflecting  person.  We  receive  from  a banker, 
merchant,  or  miner  62*4  ounces  ($1000)  of  dust,  with  a request  to  put  it  into  bars,  and  stamp  it  with  its 
true  value,  according  to  our  Government  standard,  and  for  this  service  we  receive  fifty  cents  per  ounce. 
After  having  performed  our  labor,  delivered  the  bars,  and  received  our  $31.25,  the  banker  modestly 
demands  of  us  the  amount  of  his  bar  in  current  coin.  To  be  sure,  we  have  been  benefitted,  after  pay- 
ing our  expenses,  perhaps  Si 5,  by  the  patronage  of  our  friend,  and  with  this  benefit  he  asks  us  to  pay 
him  the  mint  value  of  his  bar,  because  we  have  asserted  by  our  stamp  that  it  contains  so  many  ounces, 
and  is  of  such  a carat  fine,  and  is  therefore  worth  at  the  Mint  in  dollars  and  cents  so  much  money. 
The  absurdity  of  such  a demand  must  be  apparent.  We  hold  ourselves  responsible  for  the  accuracy  of 
our  stamp,  whether  it  be  upon  bullion  or  in  the  form  of  ingots  or  coin.  If  there  be  error  the  party 
aggrieved  has  his  remedy  at  common  law. 

If  we  are  counterfeiters  the  criminal  courts  are  at  all  times  open.  Our  guilt  or  punishment  can- 
not be  affected  by  any  action  of  the  State  Legislature.  We  shall  endeavor  to  pursue  such  a course  in 
our  intercourse  with  our  fellow-citizens  as  not  to  impose  on  their  rights,  or  outrage  laws  and  good  order ; 
and  while  we  thus  deport  ourselves  we  claim  to  be  exempt  from  the  unjust  charge  of  being  felons  and 
counterfeiters  by  those  who  ought  not  to  plead  ignorance  of  the  law  in  extenuation  of  their  acts. 

Moffat  & Co. 

The  falling  off  in  the  number  of  private  coiners  in  1850  was  due  in  part  to  the 
rejection  of  so  many  issues  of  the  preceding  year  and  the  growing  uneasiness  as  to 
the  intrinsic  value  of  some  of  the  pieces  in  general  circulation,  but  most  of  all  to  the 
passage  of  a prohibitory  Act  on  April  8,  1850,  by  the  State  Legislature,  which  put  an 
end  to  the  business  for  the  time.  The  chief  provision  of  this  Act  reads  as  follows  : — 

Any  person  who  shall  stamp  or  impress,  or  shall  cause  to  be  stamped  or  impressed,  upon  any  piece 
of  gold  of  less  than  four  ounces  Troy  weight,  whether  pure  or  alloyed,  any  figures,  letters  or  marks, 
indicating  or  purporting  to  indicate  its  weight,  fineness  or  value,  shall  be  deemed  guilty  of  a mis- 
demeanor, and  upon  conviction  thereof  shall  be  punished  as  provided  in  the  preceding  section. 

A few  days  later  (April  20)  the  law  establishing  the  office  of  State  Assayer  and 
prescribing  his  duties  was  passed,'  and  the  same  day  another  law,  which  compelled 
private  coiners  to  redeem  their  issues  on  demand,  at  face  value,  was  also  passed,  which 
virtually  forced  them  out  of  business.  The  text  of  this  law  follows  : — 

Sec.  1.  Any  person  or  company  who  shall  make  or  cause  to  be  made,  within  this  State,  any  piece 
of  gold  or  silver,  whether  pure  or  alloyed,  in  the  form  of  coin  or  otherwise,  and  intended  or  calculated 
to  circulate  as  money,  shall  be  held  responsible  to  the  holder  thereof  for  the  marked  value  thereof,  or  at 
the  rate  at  which  such  coin  is  uttered,  and  shall  on  presentation  redeem  all  such  coins  at  such  rate  with 
legalized  coin  of  the  United  States. 

1 For  the  full  text  of  this  law  see  page  6 et  seq. 


INTRODUCTION. 


xiii 

Sec.  2.  If  any  person  making  or  uttering  such  coin  shall  refuse  or  neglect  to  redeem  the  same 
in  the  manner  prescribed  in  Section  i,  he  shall  be  deemed  guilty  of  a misdemeanor,  and  shall  be  liable 
on  conviction  to  be  punished  in  each  case  by  fine  of  not  less  than  five  hundred  dollars,  nor  more  than 
five  thousand  dollars,  or  imprisonment  for  not  less  than  six  months,  nor  more  than  three  years,  or  by 
both  such  fine  and  imprisonment. 

Sec.  3.  If  any  person  shall  hereafter  make  or  utter  any  piece  of  gold  or  silver  as  described  in 
Section  1,  without  stamping  upon  the  same  the  day,  month,  and  year  of  its  manufacture,  he  shall  be 
guilty  of  a misdemeanor,  and  shall  be  liable  on  conviction  thereof  to  the  same  penalty  as  prescribed  in 
Section  2. 

Sec.  4.  If  any  person  shall  hereafter  make  or  utter  any  coin,  or  piece  of  gold  or  silver,  such  as 
is  described  in  Section  1 of  this  chapter,  of  less  value  than  its  marked  or  nominal  value,  or  the  value  at 
which  it  is  issued,  he  shall  be  deemed  guilty  of  fraud,  and  on  conviction  thereof  shall  be  liable  to  the 
penalties  mentioned  in  Section  2. 

Sec.  5.  This  Act  shall  take  effect  on  the  fifth  day  after  its  passage. 

The  question  of  the  establishment  of  an  official  Assay  Office,  at  which  gold-dust 
could  be  smelted,  assayed,  and  stamped  with  its  value,  had  been  discussed  as  early  as 
July  22,  1848,  and  at  the  Constitutional  Convention  in  1849,  Mr.  Stewart  introduced  a 
Resolution  expressing  the  desire, 

That  the  Congress  of  the  United  States  establish  an  Assay  Office  at  the  most  suitable 
place,  where  all  gold-dust  intended  for  exportation  shall  be  assayed,  made  into  ingots  or  bars, 
and  stamped  with  its  rate  of  purity  on  payment  of  a charge  not  to  exceed  one  per  cent. ; the 
holder  of  any  such  ingot,  however,  to  have  the  right  to  have  the  same  coined  free  of  further 
charge,  on  presentation  at  any  Mint  of  the  United  States.  The  net  proceeds  of  said  Office  to 
be  paid  into  the  Treasury  of  the  State  of  California.' 

This  Resolution  was  rejected  by  the  Convention. 

The  United  States  Assay  Office  had  its  origin  in  the  fact  that  when  Senator  Dick- 
inson of  New  York  proposed  that  a Mint  be  established  in  that  city,  Senator  Benton 
offered  an  amendment  that  a Mint  and  Assay  Office  be  established  in  San  Francisco. 
This  failed  to  pass,  but  at  the  next  session  a substitute  for  the  Bill  was  offered,  and 
in  the  meanwhile  Moffat  & Co.  became  assay  contractors.  Congress  authorized  the 
appointment  of  a United  States  Assayer  September  30,  1850 ; the  Act  provided  that 

The  Secretary  of  the  Treasury  be  ...  . authorized  and  directed  to  contract,  upon  the  most 
reasonable  terms,  with  the  proprietors  of  some  well-established  works  now  in  successful  operation  in 
California,  upon  satisfactory  security,  to  be  judged  by  the  Secretary  of  the  Treasury,  who  shall,  under 
the  supervision  of  the  United  States  Assayer,  to  be  appointed  by  the  President  by  and  with  the  advice 
and  consent  of  the  Senate,  perform  such  duties  in  assaying  and  fixing  the  value  of  gold  in  grains  and 
lumps,  and  forming  the  same  into  bars,  as  shall  be  prescribed  by  the  Secretary  of  the  Treasury;  and 
that  the  said  United  States  Assayer  shall  cause  the  stamp  of  the  United  States,  indicating  the  degree 
of  fineness  and  value,  to  be  affixed  to  each  bar  or  ingot  of  gold  that  may  be  issued  from  the  establish- 
ment; provided,  that  the  United  States  shall  not  be  held  responsible  for  the  loss  of  any  gold  deposited 
with  said  proprietors  for  assay. 

Early  in  March,  1851,  Mr.  Heydenfeldt,  of  the  State  Legislature,  introduced  a Bill 
to  repeal  the  Act  of  April  8,  1850,  prohibiting  coinage  by  individuals,  and  according  to 
1 See  Proceedings  of  the  State  Convention  in  1849,  P-  347- 


XIV 


PRIVATE  GOLD  COINAGE. 


“ Alta  California,”  of  March  9,  Mr.  Murphy,  of  the  Committee  on  Ways  and  Means, 
reported  it  to  the  House,  and  it  passed,  after  some  debate,  only  needing  the  Governor’s 
signature  to  become  a law.  On  the  appointment  of  the  United  States  Assayer,  who 
began  operations  about  the  first  of  February,  1851,  the  State  Assay  Office  was  discon- 
tinued. Moffat  & Co.,  who  had  obtained  the  contract  with  the  National  Government, 
abandoned  their  private  issues  and  took  up  the  exclusive  work  of  striking  the  Fifty 
Dollar  “slugs.”  Two  other  firms  joined  the  mints  which  had  been  doing  business  in 
1850:  these  were  Dunbar  & Co.,  and  Shultz  & Co.,  each  of  whom  struck  coins  of  the 
single  denomination  of  Five  Dollars,  very  much  alike  in  design,  and  having  the  firm 
name  on  Liberty’s  coronet.  Baldwin  & Co.  ceased  to  issue  Fives,  but  began  to  coin 
Tens  and  Twenties,  — the  latter  the  first  of  that  value  to  be  struck. 

The  Act  of  April  8,  1850,  seems  to  have  speedily  become  a dead  letter,  for  never 
was  there  a larger  volume  of  this  coinage  than  in  the  first  quarter  of  1851,  when  each 
mint  seems  to  have  been  worked  to  its  greatest  capacity.  Baldwin  & Co.  led,  with  a 
total  product  of  5590,000  from  January  1 to  March  31  : the  output  of  the  new  United 
States  Assay  Office  was  $530,000  ; Dubosq  & Co.  were  third,  with  a coinage  of  Si 50,000  ; 
Shultz  & Co.  struck  $93,000  in  Fives,  and  Moffat  & Co.,  in  the  twenty-seven  days  be- 
fore they  ceased  coining  to  begin  the  work  of  the  United  States  Assay  Office,  had 
struck  $89,000  — probably  in  Fives,  though  no  pieces  of  this  mintage  dated  1851  are 
now  known.1 

With  all  this  flood  of  private  coins  there  was  evidently  an  under-current  of  distrust 
as  to  the  actual  value  of  some  of  the  pieces,  compared  with  that  stated  on  their  face,  and 
one  of  the  most  prominent  banking  firms  was  determined  that  if  possible  this  emergency 
coinage  should  be  placed  on  an  honest  basis.1  The  evidence  for  this  is  found  in  the 
following  correspondence  between  James  King  of  William  and  Augustus  Humbert, 
U.  S.  Assayer  : 

Banking  House  of  James  King  of  William, 

San  Francisco , March  21 , /8jl. 

Dear  Sir : Herewith  I send  you  samples  of  the  following  coinage,  viz. : 


Baldwin’s  13  Twenties S260 

“ 10  Tens 100 

“ 28  Fives 140 — 8500 

Shultz’s  45  Fives 225 

Dubosq’s  7 Tens 70 

“ 3 Fives 15 — 85 


May  I ask  you  the  favor  to  have  these  assayed  and  let  me  have  the  result  as  early  as  you 
conveniently  can,  and  oblige, 

Yours  very  truly, 


Augustus  Humbert,  Esq.,  United  States  Assayer,  &*c. 


James  King  of  William. 


INTRODUCTION. 


xv 


United  States  Assay  Office, 

San  Francisco , March  26,  1831. 

Dear  Sir : In  answer  to  your  letter  of  the  21st  of  March,  I beg  leave  to  state  that  the 
assays  of  the  coins  you  left  with  me  have  resulted  as  follows : — 


Baldwin’s 

13  pieces 

$20  ea. 

5 >610/32 

871 

$19.40 

M 

10  “ 

$10  ea. 

259V2 

872 

9-74 

M 

28  “ 

$5  ea- 

871 

4.91 

Shultz’s 

45  “ 

$5  ea. 

>291^5 

875^4 

4.87 

Dubosq’s 

7 “ 

$10  ea. 

262 

880 

9-93 

(( 

3 “ 

$5  ea. 

* 3> 

880 

4.96 

Very  respectfully,  your  obedient  servant, 

A.  Humbert,  United  States  Assayer. 

James  King  of  William,  San  Francisco. 

“ Alta  California,”  in  commenting  upon  the  result  of  these  assays,  said  that  it  would 
appear  that  the  holder  of  Twenty  Dollar  pieces  would  lose  sixty  cents  on  each,  should 
he  present  them  at  the  Mint,  or  three  per  cent. ; while  on  the  Tens  the  loss  would  be 
twenty-six  cents,  or  nearly  the  same  percentage.  The  coins  last  named  in  Mr.  King’s 
list  (Dubosq’s)  appear  to  approach  most  nearly  to  the  United  States  Mint  standard 
value,  the  loss  being  only  seven-tenths  of  one  per  cent.,  or  seven  cents  on  Ten  Dollars, 
while  that  of  Baldwin  is  three  per  cent.,  or  thirty  cents  on  Ten  Dollars. 

An  immediate  result  of  this  assay  was  the  refusal  on  the  part  of  the  bankers  to 
receive  deposits  either  of  ingots  of  gold  or  any  other  California  coin  except  Moffat’s. 
April  4,  1851,  the  business  men  of  San  Francisco  met  to  take  action  on  the  private 
coinage  question,  and  a committee  was  appointed  to  investigate  the  matter.  The  em- 
bargo must  have  been  fairly  general,  as  one  advertiser  stated  that  he  would  “ receive 
California  coin  in  exchange  for  groceries.”  The  meeting  drew  from  “ Alta  California  ” 
of  April  5,  the  following  editorial : 

“ A coin  is  genuine  which  has  been  issued  under  the  regulation  and  authority  of  law  ; a counterfeit 
coin  is  an  imitation  of  the  genuine,  struck  without  legal  authority.”  — Mint  Manual  of  Coins. 

The  difference  between  counterfeit  and  genuine  coins  seems  explicitly  enough  given  in 
the  above  extract  from  a work  which,  published  by  two  Assayers  at  the  Mint  in  Philadelphia, 
would  seem  to  be  good  authority.  If  the  definition  be  correct,  all  the  private  coins  issued  in 
this  State,  so  far  as  we  have  seen  them,  are  counterfeits.  Be  they  so  or  not,  their  presence  is 
becoming  more  and  more  a nuisance  and  an  abuse  of  a confiding  public.  They  are  an  evident 
imitation  of  the  United  States  coins,  — almost  identical  in  appearance,  — and  are  issued  by 
individuals  or  companies  professing  no  obligation  to  redeem  their  own  issues  in  specie  or  any- 
thing else.  They  purport  to  be  of  a certain  value,  and  yet,  according  to  what  appears  a fair 
assay,  and  average  value  deduced  therefrom,  they  fall  short  of  their  assumed  value  — some  as 
much  as  three  per  cent.  Our  bankers,  who  are  generally  alive  to  their  own  interests,  refuse  to 
receive  these  coins  except  at  a discount  of  five  per  cent.  Thus  the  honest,  confiding  citizen 
who  has  taken  them  in  good  faith,  finds  that  he  cannot  pay  his  rent,  make  his  purchases,  or 
deposit  his  hard  earnings  except  at  a discount  which  is  considered  anywhere  but  in  California 
a very  good  rate  if  allowed  as  interest.  All  conceivable  evils  and  annoyances  in  business  trans- 
actions are  felt  already  in  consequence. 


XVI 


PRIVATE  GOLD  COINAGE. 


The  present  indications  are  a return  to  a condition  of  things  similar  to  what  succeeded 
the  issuing  of  Miners’  Bank  coins,  the  introduction  of  Mormon  coins,  and  similar  operations, 
by  which  a large  portion  of  the  people  who  were  good-natured  enough  to  receive  those  vile 
falsehoods  in  the  shape  of  coin,  found  themselves  cheated  out  of  twenty  per  cent.  Most,  per- 
haps all,  of  the  coins  now  in  circulation  are  much  better  than  those,  but  the  public  have  no 
security  that  ere  a month,  or  at  any  future  time,  those  yet  to  be  issued  will  be  really  worth  as 
much  as  were  the  Miners’  Bank  and  Mormon  issues.  There  is  every  reason,  except  such  as 
conscience  might  repudiate,  for  alloying  these  coins  to  any  extent  which  a determination  to 
make  money  by  the  operation  would  dictate.  When  once  a company  of  individuals  have  estab- 
lished the  credit  of  their  issues  sufficiently  to  give  them  currency,  not  holding  themselves  under 
any  obligation  to  redeem  them,  what  is  there  to  restrain  any  amount  of  swindling  by  lowering 
the  fineness  and  stamping  a piece  of  metal  as  worth  Ten  Dollars  although  it  may  not  be  of  the 
value  of  Five  ? We  know  of  nothing  except  a refusal  on  the  part  of  the  public,  business  men, 
and  others,  to  receive  this  currency  which  is  open  and  liable  to  any  conceivable  amount  of 
adulteration,  and  consequent  loss  by  the  recipients.  It  is  not  to  be  expected  that  such  issues 
will  be  maintained  at  their  assured  value,  even  if  they  should  be  so  at  first.  National  Govern- 
ments have  been  known  secretly  to  lower  the  standard  of  their  coin,  thus  for  a while  at  least 
realizing  a heavy  profit.  An  assay  of  a single  coin  or  a limited  number  issued  by  companies 
or  individuals,  responsible  only  to  their  own  consciences,  although  it  may  exhibit  a value  equal 
to  their  face,  proves  nothing.  These  coins  may  have  been  selected  or  made  expressly  for  the 
assay. 

And  more  than  this,  although  every  coin  issued  up  to  the  time  of  an  assay  was  worth  its 
face  value,  all  issues  the  next  day  and  ever  afterward  might  be  twenty-five  or  any  percentage 
below  it.  For  be  it  remembered  that  there  is  not  one  of  the  restraints  of  the  Mint  issues  rest- 
ing upon  the  private  coiners.  And  the  public  ought  to  be  able  to  judge  how  much  confidence 
it  should  place  in  men,  as  we  find  them,  when  no  law,  nothing  but  self-interest,  guides  their 
operations  in  this  matter.  The  business  of  coining  here  seems  to  be  profitable.  There  are 
several  establishments  engaged  in  it,  and  new  ones  are  occasionally  springing  up.  It  is  rather 
singular  if  their  coin  is  worth  more  than  United  States  coins,  as  some  assert.  The  assertion 
that  it  is  so  seems  to  prove  too  much  or  nothing.  What  conceivable  object  is  there  to  make  it 
so  ? If  a single  coin  should  prove  so  it  is  evidently  made  by  mistake,  or  else  by  design  be  one 
of  a few  mixed  for  the  specific  purpose,  to  create  public  confidence  in  the  entire  issue  upon  the 
strength  of  an  assay  made  upon  one  or  more  extra  pieces.  The  whole  system  is  as  bad  as  it 
can  well  be.  It  is  an  infringement  on  the  rights  and  prerogatives  of  the  United  States  Govern- 
ment. It  is  an  imposition  upon  the  people  of  this  State.  Its  tendency  is  to  all  manner  of 
annoyances  in  business  transactions,  disorganization  of  trade,  loss  and  vexation  to  the  public, 
and  lasting  injury  to  the  best  interests  of  the  community.  Those  who  have  been  most  instru- 
mental in  throwing  this  coin  into  circulation  now  refuse  to  redeem  it  or  receive  it  except  at  a 
heavy  discount.  It  is  time  that  our  citizens  open  their  eyes  to  this  great  and  crying  evil. 

We  wish  not  to  be  understood  as  charging  intentional  fraud  upon  the  persons  engaged  in 
coining.  The  evil  lies  in  the  system  itself.  Individuals  cannot  give  permanent  confidence 
in  any  issues  of  their  own.  Nothing  short  of  National  guarantees  can  do  it.  And  the  assem- 
bled wisdom  which  formed  the  Constitution  wisely  deposited  the  power  of  coining  with  the 
General  Government.  There  it  should  remain.  The  States  are  prohibited  from  coining,  and 
it  would  be  singular  if  individuals  were  allowed  the  privilege  denied  the  States.  There  is  no 
doubt  that  the  bankers  who  have  been  instrumental  in  circulating  these  coins  have  contributed 
principally  to  their  sudden  depression.  This  may  be  all  right  and  legitimate  in  their  line  of 


INTRODUCTION. 


XVII 


business,  with  which  we  do  not  wish  to  interfere,  only  so  far  as  our  duty  to  the  public  urges  us. 
But  we  cannot  see  much  consistency  in  paying  out  ninety-three  cents  in  the  form  of  five-franc 
pieces  for  a dollar,  and  English  shillings  for  twenty-five  cents,  as  they  do,  while  refusing  the 
very  coin  which  they  have  thrown  upon  the  market  at  par. 

The  committee  of  merchants  appointed  at  the  meeting  of  April  4,  1851,  made  its 
report  on  April  9,  which  read  as  follows  : 

The  committee  appointed  at  a meeting  of  merchants  held  on  Friday,  the  4th  inst.,  with 
instructions  to  take  into  consideration  and  report  upon  the  issue  of  coin  from  private  mints, 
established  in  this  place,  beg  leave  to  state  : 

That  in  performing  the  duty  assigned  them  the  committee  have  not  deemed  it  necessary 
to  order  any  assays,  or  to  institute  any  comparison  of  the  coinage  of  different  private  mints  now 
in  circulation.  It  is  upon  the  principle  of  private  coinage  that  the  committee  desires  to  pro- 
nounce, and  this  principle  is  evidently  so  adverse  to  the  existence  of  a sound  monetary  system 
that  the  committee  cannot  but  condemn  it  in  the  strongest  terms.  As  far  as  the  committee  have 
been  able  to  ascertain,  the  present  circulation  of  private  coinage  amounts  to  not  less  than  two 
millions  of  dollars,  and  preparations  are  known  to  be  making  to  increase  the  issue  to  a degree 
which  will  speedily  reduce  the  whole  circulation  of  the  country  to  a coinage  confessedly  irre- 
deemable and  based  on  no  tangible  responsibility. 

The  committee  have  no  wish  to  censure  the  proprietors  of  the  mints  now  in  operation, 
some  of  whom  have  given  such  assurance  and  offer  such  guarantees  as  show  the  confidence 
they  entertain  in  the  intrinsic  value  of  their  coins ; but  it  is  evident  that  the  system  of  private 
coinage  is  one  that  subjects  the  community  to  frauds  of  the  most  extensive  nature,  and  as  well 
to  remedy  the  evils  under  which  the  community  now  suffer,  as  to  prevent  evils  of  far  greater 
magnitude  hereafter,  the  committee  feel  it  incumbent  on  them  to  condemn  in  toto  the  principle 
of  private  coinage,  and  to  recommend  the  rejection  as  a medium  of  exchange  in  trade  of  all 
private  coinage  without  exception.  Some  loss  must  be  incurred  by  the  rejection  of  a circulat- 
ing medium  which  has  up  to  the  present  time  been  currently  received.  The  coin  now  in  circu- 
lation will  become  an  article  of  merchandise,  and  may  fall  somewhat  below  its  intrinsic  value, 
but  in  the  opinion  of  the  committee  it  is  better  to  suffer  a present  loss,  the  extent  of  which  may 
be  estimated,  than,  by  permitting  a continuance  of  a false  system,  expose  the  community  to 
losses  of  far  greater  magnitude  from  a depreciated  currency,  and  the  constant  reactions  which 
must  inevitably  result  from  want  of  confidence  in  the  circulating  medium. 

As  the  coinage  of  the  United  States  Assay  Office  is  authorized  by  the  Government  and 
receivable  at  the  Custom  House  for  Government  dues,  it  carries  with  it  a degree  of  respon- 
sibility, and  the  committee  would  recommend  the  continued  acceptance  in  trade  of  the  ingots 
and  coins  of  that  office.  Yet  they  would  not  be  understood  to  express  an  unqualified  approval 
of  the  establishment,  which  indeed  does  not  seem  to  meet  the  necessities  of  the  country.  Great 
delay  now  occurs  in  the  coinage  of  dust  left  at  the  Office,  and  it  may  be  doubted  if  the  capacity 
of  the  establishment  will  enable  it  to  supply  the  country  with  a circulating  medium.  Of  the 
guarantees  against  maladministration  in  the  transactions  of  the  establishment  it  is  for  the  public 
to  judge,  but  the  committee  would  call  attention  to  the  commissions  charged  for  coinage,  and 
would  recommend  that  efforts  be  used  to  reduce  this  charge  to  a more  moderate  and  equitable 
rate. 

In  recommending  the  continued  acceptance  of  coin  bearing  the  name  of  the  Assay  Office 
the  committee  look  upon  it  as  a temporary  measure  only,  which  the  necessities  of  the  country 


PRIVATE  GOLD  COINAGE. 


xviii 

require : but  as  the  only  means  of  placing  the  currency  of  the  country  on  such  a footing  as  may 
entitle  it  to  full  and  entire  confidence,  and  of  protecting  the  community  from  evils  like  those 
which  it  is  now  called  upon  to  guard  against,  the  committee  would  urge  the  adoption  of  strenu- 
ous efforts  to  procure  the  establishment  of  a United  States  Mint  at  that  place. 

After  the  reading  of  the  report,  a Resolution  was  offered  and  passed,  “ That  no 
coin  of  private  coinage  be  received  as  currency  by  the  mercantile  community.” 

The  result  of  this  action  by  the  bankers  and  the  Legislature  was  the  abandonment, 
for  the  second  time,  of  private  coinage, — the  Fifty  Dollar  octagonal  slugs  from  the 
U.  S.  Assay  Office  being  the  only  pieces  struck.  The  refusal  of  the  business  men  to 
receive  the  private  issues  except  at  their  bullion  value  — from  five  to  ten  per  cent,  below 
their  nominal  or  face  value  — speedily  sent  these  pieces  to  the  Assay  Office  melting-pot, 
only  to  appear  again  as  Fifty  Dollar  slugs.  This  enforced  retirement  of  the  smaller 
denominations  left  nothing  for  local  circulation  but  those  cumbrous  pieces ; United 
States  and  other  coins  acceptable  for  duties  were  hoarded  as  before,  and  once  more 
the  citizens  found  themselves  between  Scylla  and  Charybdis.  The  embarrassment 
became  so  great  that  on  April  14,  1851,  Moffat  & Co.  asked  the  Secretary  of  the 
Treasury  to  permit  them  to  issue  ingots  of  less  than  Fifty  Dollars’  value,  but  this 
request,  and  others  made  in  their  monthly  reports  during  the  year,  were  refused  as 
“ inexpedient,”  and  the  disastrous  effect  on  business,  both  in  San  Francisco  and  through- 
out the  State,  was  a fruitful  theme  of  complaint  in  the  press  and  among  the  merchants. 
It  was  not  until  December  9,  1851,  that  the  United  States  Assayer  was  authorized  to 
stamp  gold  ingots  of  the  value  of  Ten  and  Twenty  Dollars,  and  this  permission  was 
revoked  on  the  following  day.' 

Before  this  permission  and  its  recall  could  reach  San  Francisco,  many  prominent 
bankers  and  business  men  of  the  city  had  united  in  asking  Moffat  & Co.  to  issue 
$300,000  in  small  denominations  bearing  their  private  stamp,  to  meet  the  pressing  need 
until  the  United  States  Assayer  should  receive  proper  authority  to  do  so.  This  request 
was  dated  January  5,  1852.  Moffat  & Co.  reluctantly  consented,  and  a few  days  later 
the  new  pieces  appeared.  On  January  15,  1852,  they  wrote  a letter  to  Secretary  Cor- 
win, again  calling  attention  to  the  serious  results  to  the  Assay  Office  already  incurred 
because  of  its  inability  to  make  small  coins  (as  described  in  previous  reports),  in  which 
they  said  : 

....  that  the  issues  of  the  Assay  Office  are  at  a discount  of  two  or  three  per  cent. ; that 
the  Office  has  incurred  the  odium  of  the  people  on  account  of  the  great  inconvenience  and 
actual  loss  to  which  they  are  subjected  by  the  depreciation  of  its  issues,  which  were  conse- 
quently daily  diminishing  in  amount;  that  private  coinage  would  again  be  resorted  to,  and 
that  coin  with  a private  stamp  would  be  at  par,  while  that  stamped  by  authority  of  the  United 
States  would  be  at  a discount,  and  the  object  of  the  Assay  Office  defeated  unless  authority 
should  be  speedily  granted  to  issue  ingots  of  smaller  denominations  than  that  of  Fifty 
Dollars. 

To  these  representations  [which  had  been  frequently  made  in  earlier  letters]  we  have 
now  to  add  that  the  state  of  things  above  described  has  been  continually  growing  worse ; that 


1 The  correspondence  is  given  in  full  on  pages  23  <t  seq. 


INTRODUCTION. 


xix 


a private  coining  establishment  [that  of  Wass,  Molitor  & Co.],  without  reputation  or  responsi- 
bility, began  operations  early  last  week ; that  its  issues  are  at  a premium  of  two  to  three  per 
cent,  over  those  of  this  Office;  that  the  business  of  the  Office  has  nearly  ceased,  not  having 
been  for  the  last  thirty  days  sufficient  to  pay  its  current  expenses,  — a humiliating  and  lament- 
able position  for  a Government  establishment  .... 

Humbert,  the  United  States  Assayer,  had  also  made  a similar  statement  in  his 
closing  report  for  December,  1851,'  and  the  vigorous  presentation  of  the  case  by  these 
gentlemen,  supplemented  by  the  influence  of  prominent  business  men  in  California  and 
New  York,  had  an  evident  effect,  for  on  February  ir,  1852,  Moffat  & Co.  received 
authority  to  issue  Ten  and  Twenty  Dollar  ingots  at  the  Assay  Office.  Their  consent 
to  strike  a private  coinage,  in  response  to  the  petition  mentioned  above,  met  with  some 
criticism,  notwithstanding  the  urgent  need  so  generally  admitted,  and  “Alta  California” 
of  January  8,  1852,  on  learning  of  their  action  printed  a long  editorial  in  which  while 
recognizing  the  integrity  of  Moffat  & Co.,  it  took  a decided  stand  against  the  project, 
but  suggested  no  plan  for  relief. 

The  United  States  Assay  Office  (Curtis,  Perry  & Ward),  and  Moffat  & Co.,  are 
the  only  firms  certainly  known  to  have  struck  gold  during  1853.  Wass,  Molitor  & Co., 
who  had  conducted  an  assay  office  in  1851,  had  begun  a private  coinage  early  in  1852, 
which  was  very  favorably  received,  and  the  assays  at  the  Philadelphia  Mint  showed 
them  to  average  quite  up  to  the  standard  values  ;2  it  has  been  stated  that  this  firm  con- 
tinued to  issue  Five  and  Ten  Dollar  pieces  in  1853  and  1854,  but  none  bearing  these 
dates  have  come  to  our  notice.  The  Assay  Office  issued  Tens  and  Twenties,  and 
Moffat  & Co.  Twenty  Dollar  coins. 

The  reasons  for  the  coinage  by  the  private  mints  of  California  are  not  far  to  seek. 
It  was  a money  of  necessity,  which  the  merchants  and  bankers  tolerated  because  they 
were  constantly  expecting  it  would  be  speedily  displaced  by  the  lawful  issues  of  the 
Government.  But  its  need  was  felt  by  every  class  in  the  community.  The  miners 
welcomed  it  for  the  increased  value  it  gave  to  their  nuggets  and  dust ; to  meet  the 
exorbitant  prices  demanded  in  the  shops  for  the  necessaries  of  life,  payment  had  to  be 
made  in  a currency  easily  debased  by  means  which  the  recipient  had  no  ready  method  of 
discovering,  and  of  which  the  intrinsic  value  was  always  uncertain  at  the  best ; the 
private  coins  with  the  fair  professions  on  their  face  were  the  only  alternative,  and  for  a 
time  met  the  emergency,  so  long  at  least  as  confidence  in  the  integrity  of  the  coiners 
continued ; the  irritating  and  inexplicable  procrastination  in  the  establishment  of  a 
Branch  Mint  fostered  the  hope  that  some  plan  would  be  discovered  by  which  the  law 
requiring  payment  of  Custom  House  duties  in  coins  struck  by  duly  recognized  authority 
might  be  evaded.  The  private  issues  were  thus  actually  forced  upon  the  public  by  the 
action  of  the  Government  itself,  which  while  acknowledging  the  need,  failed  to  provide  a 

1 See  page  28.  age,  so  far  as  can  be  learned,  thus  accepted,  aside  from 

2 The  statement  appears  in  the  “San  Francisco  Ad-  the  official  issues  of  the  United  States  Assay  Office, 
vocate,”  in  1852,  that  the  coins  of  Wass,  Molitor  & Co.  While  the  pieces  struck  by  Wass,  Molitor  & Co.,  and 
and  the  Tens  and  Twenties  of  the  United  States  Assay  those  of  Kellogg  & Co.,  who  operated  in  1854-55,  may 
Office  were  the  only  ones  then  issued,  and  that  the  have  been  acceptable  because  of  their  intrinsic  value, 
former  were  received  for  duties  at  the  Custom  House,  the  correctness  of  the  “ Advocate’s”  statement  may  be 
If  this  statement  be  correct,  the  issues  of  that  firm  doubted. 

enjoyed  the  distinction  of  being  the  only  private  coin- 


XX 


PRIVATE  GOLD  COINAGE. 


relief,  except  by  the  expedient,  after  long  delay,  of  the  establishment  in  January,  1851/ 
of  a Government  Assay  Office. 

When  the  Collectors  of  Customs  for  the  different  ports  were  first  appointed,  Gen. 
Kearny,  in  April,  1847,  instructed  them  to  receive  only  “specie,  Treasury  notes  or 
drafts,”  in  payment  of  duties.  The  only  known  variation  from  those  instructions  was 
the  acceptance  in  that  month  by  David  W.  Alexander,  Collector  for  the  Port  of  San 
Pedro,  of  $1,700  in  Government  due-bills,  under  the  questionable  authorization  of  Lieut. 
Col.  Fremont,  who  claimed  to  be  the  Acting  Governor  of  California.  When  James 
Collier  was  appointed  by  the  civil  authorities  as  the  first  Collector  to  replace  the  official 
serving  under  the  military  regime , he  received  special  instructions  from  Secretary  Mere- 
dith, in  a letter  dated  April  3,  1849,  from  the  United  States  Treasury  Department,  in 
which  he  was  told,  “ It  is  proper  to  advise  you  that  you  can  only  receive  in  payment  of 
duties  coins  of  the  United  States  and  such  foreign  coins  as  are  recognized  and  their 
values  established  by  Acts  of  Congress.”  Yet  with  a full  knowledge  of  the  dearth  of 
such  money  in  the  State,  the  constantly  increasing  demand  caused  by  the  rush  of  adven- 
turers from  the  East  to  the  gold-fields,  and  the  importation  of  merchandise  to  supply  their 
needs,  it  was  not  until  after  the  authorities  had  repudiated  the  products  of  the  United 
States  Assay  Office  that  Congress  authorized  the  establishment  of  a Branch  Mint  at 
San  Francisco. 

California  had  suffered  much  in  her  efforts  to  provide  a stable  coinage  with  which 
to  conduct  the  ordinary  every-day  business  of  its  citizens.  When  at  last  the  United 
States  Government  established  its  Assay  Office,  it  was  hoped  that  like  the  previous 
expedients,  it  would  soon  be  replaced  by  a Branch  Mint,  and  that  in  the  meantime  its 
official  stamp  would  not  only  guarantee  to  the  miner  a fair  percentage  of  the  precious 
metal  for  the  possession  of  which  he  had  borne  so  many  privations  and  hardships,  but 
would  also  rescue  him  from  the  clutches  of  the  gold-dust  brokers.  It  was  regarded  as  a 
compromise,  and  as  it  seemed  to  guarantee  the  definite  value  of  at  least  a portion  of  the 
bullion  which  circumstances  compelled  to  serve  in  place  of  coinage,  it  was  patronized  to 
such  a degree  that  very  soon  after  it  began  operations  the  only  circulating  medium  con- 
sisted of  the  octagonal  slugs. 

From  the  time  of  its  establishment,  so  far  as  can  be  learned,  private  coins  were 
invariably  refused  at  the  Custom  House,  but  T.  Butler  King,  the  Collector  of  the  Port 
of  San  Francisco,  was  instructed  by  Secretary  Corwin  to  accept  the  ingots  bearing  the 
stamp  of  the  United  States  Assay  Office  in  payment  of  duties.  Thereafter,  and 
until  October,  1852,  importers  were  enjoying  the  relief  which  these  afforded  from  the 
manipulations  of  the  brokers,  which  compelled  them  to  pay  a premium  for  the  privilege 
of  changing  a coin  that  had  been  demonstrated  beyond  any  doubt,  by  the  United  States 
Mint  Assayers  at  Philadelphia,  to  possess  an  intrinsic  value  of  $50.10,  when  presented 
there  in  bulk.  Occasional  complaints  were  heard,  because  the  Assay  Office  could  not 
at  once  coin  any  but  the  bulky  pieces,  which  were  likened  to  the  “ Plagues  of  Egypt,” 
but  the  benefit  was  generally  recognized  when  these  were  compared  with  the  utterly 
untrustworthy  character  of  a number  of  the  private  issues  that  had  victimized  every 
phase  of  California  life  in  1849  and  1850. 

1 The  first  issues  appeared  the  last  of  January,  1851.  See  page  18. 


INTRODUCTION. 


xxi 


It  was  therefore  a staggering  blow  to  the  mercantile  community  when  the  ingots 
with  the  stamp  of  the  Government  Assayer  were  refused  by  Collector  King,  in  accord- 
ance with  instructions  from  Assistant  Secretary  Hodge,  of  the  Treasury  Department  at 
Washington,  and  the  trivial  reason  was  given  that  these  issues  of  the  Assay  Office  did 
not  come  within  the  requirements  of  the  new  United  States  law,  which  required  that 
only  gold  coins  of  the  standard  of  fineness  of  the  regular  coinage  — 90%ooo  — should  be 
received.  While  the  ingots  issued  by  the  Assay  Office  could  not  be  considered  as  coin, 
they  might  well  be  regarded  as  fulfilling  the  same  functions  — which  they  did,  for  there 
is  no  higher  function  of  a piece  of  money  than  its  acceptance  for  the  payment  of  duties 
at  one  of  the  United  States  Custom  Houses  — and  the  circumstances  under  which  they 
were  struck,  bearing  the  guarantee  of  the  officials  appointed  by  the  Government  itself, 
put  them  on  an  entirely  dfferent  footing  from  all  the  necessity  pieces  which  had  pre- 
ceded them. 

The  reason  for  this  refusal  was  a mere  technicality,  which  would  have  been  laugh- 
able but  for  the  serious  consequences  involved.  This  technicality  lay  in  the  fact  that  the 
coins  of  the  Assay  Office  were  not  of  the  standard  of  fineness  of  the  United  States  coinage 
(9°o/10oo,  as  stated  above),  but  only  of  the  fineness  of  the  average  California  gold,  which 
ranged  from  884  to  887  one-thousandths.  But  the  same  Act  permitted  the  acceptance 
of  foreign  gold  coins  — those  of  Great  Britain,  France,  Spain,  Portugal,  Brazil,  Mexico 
and  Colombia  — at  their  intrinsic  value,  which  was  in  all  instances  less  than  the  value 
stamped  upon  their  face.  The  authorities  at  Washington  seem  to  have  failed  to  see  the 
absurdity  of  a decision  which  disparaged  their  own  issues  in  favor  of  foreign  coins.  They 
were  blind  to  the  fact  that  the  Assay  coins  were  the  only  medium  permitting  a great 
State  to  conduct  a business  the  very  foundation  of  which  lay  in  the  maintenance  of  a 
large  force  of  miners  in  the  Sierra  Nevadas,  engaged  in  digging  out  of  old  Mother  Earth 
the  precious  metal  in  such  quantities  that,  in  the  course  of  a few  years,  the  stupendous 
amount  of  over  a billion  dollars’  worth  of  the  only  real  world-circulating  medium  was 
produced. 

The  action  of  the  Treasury  officials  caused  intense  excitement  among  the  merchants 
of  San  Francisco,  and  an  indignation  meeting  was  held  on  October  9,  at  which  Ex- 
Governor  Smith  denounced  the  order,  claiming  that  the  Act  of  September  30,  1850, 
virtually  made  the  ingots  coins  of  the  United  States;  Collector  King  replied,  showing 
that  it  was  impossible  for  him  to  accept  the  repudiated  issues,  under  the  law,  without 
incurring  personal  responsibility,  but  he  intimated  that  if  a satisfactory  guarantee  against 
loss  should  be  furnished  by  the  merchants,  he  would  be  willing  to  assume  that  respon- 
sibility. If  the  ingots  were  90%ooo  fine,  he  said,  he  believed  they  would  be  receivable. 
A Memorial  was  sent  to  Secretary  Corwin,  who  apparently  took  no  action  upon  it  further 
than  to  call  the  matter  to  the  attention  of  Congress  in  his  annual  report ; and  a bond 
was  prepared  as  suggested.  Representations  were  also  made  to  Messrs.  Curtis,  Perry 
& Ward,  of  the  Assay  Office,  which  led  them  to  strike  pieces  of  the  required  fineness, 
and  the  trouble  seems  to  have  ceased,'  as  the  papers  of  the  day  make  no  further  men- 
tion of  the  subject.  It  is  probable  that  the  required  standard  was  adhered  to  until  the 
Office  ceased  operations  on  December  14,  1853. 

1 See  pages  37  tt  seq.,  for  a full  account  of  the  meeting  and  subsequent  action. 


XXII 


PRIVATE  GOLD  COINAGE. 


The  Act  authorizing  the  establishment  of  the  San  Francisco  Branch  Mint  was 
passed  by  Congress  on  July  3,  1852.  The  contract  for  the  erection  of  the  building 
was  not  taken  within  the  advertised  date,  and  on  March  3,  1853,  the  time  for  receiving 
proposals  was  extended.  During  the  following  Summer  arrangements  were  completed, 
and  the  site  of  the  old  United  States  Assay  Office  on  Commercial,  near  Montgomery 
Street,  having  been  fixed  upon  as  the  location,  work  was  begun  in  the  Fall.  The  con- 
tract was  given  to  a Mr.  Butler,  at  his  bid  of  $239,000,  which  was  subsequently  bought 
by  Curtis,  Perry  & Ward,  who  made  a new  contract  with  the  Secretary  of  the  Treasury. 
The  building  was  sixty  feet  square,  and  of  three  stories.  It  occupied  twenty  feet  more 
width  on  the  western  side  than  its  predecessor,  which  was  forty  by  sixty  feet.  The 
construction  was  finished  in  the  Spring  of  1854,  and  the  Branch  Mint  went  into  opera- 
tion on  April  3 of  that  year. 

During  the  interim  between  the  closing  of  the  Assay  Office  and  the  opening  of  the 
Branch  Mint,  not  one  of  the  private  mints  was  striking  coins,  and  there  was  a dearth  of 
pieces  to  supply  the  vacancy  caused  by  the  numerous  shipments  of  previous  issues,  and 
the  need  became  so  great  that  thoughts  once  more  turned  to  a private  coinage.  At  the 
request  of  the  merchants,  the  firm  of  Kellogg  & Richter,  both  members  of  which  had 
been  connected  with  the  Assay  Office  until  it  closed,  began  the  issue  of  Twenty  Dollar 
pieces,  the  first  of  which  appeared  in  February,  1854.'  Owing  to  many  unavoidable  delays 
which  followed  its  opening,  the  Branch  Mint  was  for  a time  unable  to  obtain  the  neces- 
sary acids  with  which  to  refine  the  gold  to  the  United  States  legal  standard,  and  lacked 
a sufficient  amount  of  silver  for  the  required  alloy,  and  so  the  Assay  office  of  Kellogg 
& Richter,  which  was  governed  by  no  restriction,  continued  to  strike  pieces  from 
gold  of  the  average  fineness  of  880  to  890  one-thousandths.  Their  issues  promptly 
met  all  emergencies,  and  were  continued  long  after  the  Branch  Mint  resumed  opera- 
tions. 

In  the  Spring  of  1854  the  need  of  a Fifty  Dollar  piece,  by  which  quick  counting  of 
large  amounts  of  gold  could  be  accomplished,  again  became  manifest.  The  octagonal 
slugs  had  apparently  disappeared  from  general  circulation,  having  been  remelted  and  re- 
coined in  more  convenient  denominations,  or  shipped  out  of  the  country,  and  a petition 
was  therefore  sent  to  Congress  by  the  San  Francisco  merchants,  requesting  that  the 
Branch  Mint  might  be  allowed  to  strike  Fifty  Dollar  coins,  which  should  be  similar  in 
design  to  the  Double  Eagle,  and  circular  in  shape. 

In  regard  to  this  petition  the  “ San  Francisco  Herald  ” of  March  1,  1854,  said  : 

A petition  has  been  circulated  to-day,  and  very  generally  signed,  addressed  to  the  Con- 
gress of  the  United  States,  calling  attention  to  the  coinage  that  is  to  be  made  at  the  Branch 
Mint  in  San  Francisco,  and  praying  that  a law  may  be  passed  authorizing  the  issue  of  Fifty 
Dollar  pieces  of  the  same  shape  and  fineness  as  the  United  States  Double  Eagle.  It  will  of 
course  be  signed  by  every  business  man  in  the  community,  the  advantages  of  such  an  issue 
being  self-evident.  In  a country  like  our  own,  where  the  currency  is  purely  metallic,  it  is  of 
great  importance  to  have  coins  issued  of  a size  which  will  admit  of  rapid  and  easy  counting, 
both  in  receiving  and  paying  money ; and  the  experience  of  all  our  business  men  goes  to  show 
that  in  the  absence  of  bank-notes  the  Fifty  Dollar  piece  is  the  most  convenient  coin  for  such  a 


1 See  pages  83  et  seq. 


INTRODUCTION. 


xxiii 

purpose.  The  alteration  in  the  shape,  and  putting  the  coin  up  to  the  United  States  standard, 
would  make  it  all  that  could  be  desired.  If  such  a coin  should  be  issued,  it  would  in  all  proba- 
bility speedily  reduce  the  premium  on  Ounces  for  East  India  shipments. 

The  petition  was  sent  to  Senator  William  M.  Gwin,  one  of  California’s  represen- 
tatives in  Congress.  Mr.  Gwin  forwarded  a copy  of  the  Memorial  to  Secretary  of  the 
Treasury  Guthrie,  and  received  the  following  favorable  response: 

Treasury  Department, 

March  21,  1854. 

Sir:  I have  duly  considered  the  Memorial  which  you  placed  in  my  hand  this  morning,  of 
merchants  and  bankers  of  San  Francisco,  Cal.,  praying  Congress  to  authorize  the  coinage  at 
the  Branch  Mint  at  that  place  of  gold-pieces  of  the  denomination  of  Fifty  Dollars.  Upon  the 
subject-matter  of  this  Memorial  you  desire  my  opinion,  and  I have  therefore  the  honor  to  say 
that  in  the  present  condition  of  California,  as  it  respects  its  currency,  the  measure  recommended 
would  in  my  opinion  be  judicious  and  proper. 

The  large  denominations  of  gold  coinage  are  not  found  to  be  adapted  to  circulation  in  the 
Atlantic  States.  It  is  found  that  few  of  the  Twenty  Dollar  pieces,  and  not  a great  many  of 
the  Tens,  remain  in  private  hands,  but  are  soon  passed  into  the  possession  of  the  banks  and 
bankers,  and  their  places  supplied  by  bank  paper.  The  larger  pieces  are  also  more  convenient 
for  transportation,  and  being  thus  carried  to  the  South  and  West,  prevent  the  transit  of  the 
smaller  coins  which  would,  if  transmitted,  remain  in  permanent  circulation  amongst  the  people 
of  those  sections  of  the  country.  For  these  and  other  reasons  it  appears  to  me  to  be  desirable 
to  increase  the  coinage  of  the  smaller  denominations,  and  to  diminish  the  larger  for  circulation 
on  this  side  of  the  Union,  and  the  increased  capacity  of  the  Treasury  for  coinage,  arising  from 
the  establishment  of  the  Branch  Mint  at  San  Francisco  and  of  the  Assay  Office  at  New  York, 
will  enable  us  to  carry  this  view  into  effect. 

But  there  are  peculiarities  in  the  condition  of  California  which  recommend  a different 
scale  of  coinage  for  that  region.  These  are  : First,  the  fact  stated  in  the  Memorial,  of  the 
prohibition  and  entire  exclusion  of  paper  money;  and,  second,  the  high  scale  of  prices  preva- 
lent in  California  for  commodities  and  service.  These  circumstances  will  make  larger  denomi- 
tions  of  coin  convenient,  particularly  in  counting  and  passing  large  sums.  To  this  may  be 
added  that  time  will  be  saved  in  coining,  which  may  be  of  much  consequence  to  miners  and 
others,  at  least  until  the  capacity  of  the  Branch  Mint  shall  be  ascertained  to  be  equal  to  the 
gold  offered. 

In  order  to  harmonize  the  proposed  large  coins  with  the  present  recognized  coins  I would 
recommend  that  the  coinage  be  authorized  of  pieces  of  $100  and  $50  and  $25,  to  be  called  the 
“Union,”  “ Half  Union,”  and  “ Quarter  Union  but  that  the  “Half  Union”  only  be  struck 
for  the  present. 

I am,  respectfully, 

James  Guthrie, 

Secretary  of  the  Treasury. 

The  Memorial  from  San  Francisco,  together  with  the  letter  from  the  Secretary, 
was  referred  to  the  Committee  on  Finance. 

Senator  Gwin  presented  a Bill  for  the  coinage  of  Fifty  and  One  Hundred  Dollar 
pieces,  the  text  of  which  reads : 


XXIV 


PRIVATE  GOLD  COINAGE. 


That  there  may  be  coined  and  issued  by  the  United  States,  or  by  such  of  the  Branch 
Mints  as  the  Secretary  of  the  Treasury  shall  direct,  a gold  coin  of  the  weight  of  2580  grains, 
of  the  value  of  One  Hundred  Dollars;  and  another  of  the  weight  of  1290  grains,  of  the  value  of 
Fifty  Dollars,  each  of  which  coins  shall  be  of  the  standard  fineness  now  prescribed  by  law  for 
the  gold  coins  of  the  United  States. 

That  the  Secretary  of  the  Treasury  cause  the  necessary  dies  and  other  apparatus  to  be 
prepared  by  proper  and  skillful  artists,  under  the  superintendence  of  the  Director  of  the  Mint 
at  Philadelphia,  for  coining  the  above  coins,  with  such  devices,  motto,  and  figures  as  may 
be  approved  by  the  President  of  the  United  States,  the  expenses  of  which  shall  be  defrayed 
from  the  ordinary  appropriation  for  the  expenses  of  the  Mint  and  Branch  Mints  of  the  United 
States. 

That  the  said  coins  shall  be  a legal  tender  and  shall  be  received  at  their  respective  values 
as  established  by  the  Bill,  in  payment  of  all  dues  to  the  United  States. 

On  May  29,  1854,  Senator  Gwin  again  brought  the  matter  of  the  issue  of  Fifty  and 
One  Hundred  Dollar  coins  to  the  attention  of  the  Senate  ; discussion  was  postponed,  but 
on  June  16  that  body  passed  his  Bill  by  a large  majority:  it  seems,  however,  never  to 
have  received  the  notice  of  the  House,  and  therefore  failed  to  become  a law.  As  late  as 
January,  1855,  the  San  Francisco  “ Prices  Current  ” stated  that  up  to  that  time  no  infor- 
mation had  come  to  hand  from  Washington,  relative  to  the  present  coinage.  But  it  is 
evident  that  the  appeal  of  the  merchants  had  not  fallen  on  deaf  ears,  for  early  in  1855 
each  of  the  large  concerns  of  Kellogg  & Humbert,  and  of  Wass,  Molitor  & Co.  responded 
to  the  demand  by  striking  Fifty  Dollar  pieces,  circular  in  form  but  of  differing  and 
original  designs.  On  April  30,  1855,  “Prices  Current”  announced  that  the  private 
assay  offices  were  still  choked  with  business,  and  referring  to  the  Fifty  Dollar  piece  of 
Wass,  Molitor  & Co.,  remarked : “ For  city  use  it  will  be  found  useful  on  account  of  the 
superior  facility  it  offers  for  rapid  counting,  but  the  difficulty  of  obtaining  small  change 
for  it  will,  we  think,  preclude  its  general  circulation  in  the  interior.” 

The  scarcity  of  acceptable  coins  had  led  to  the  proposition,  early  in  March,  1855, 
that  the  issues  of  these  two  firms  should  be  made  a legal  tender  for  duties,  etc.,  and  that 
their  offices  should  each  be  constituted  a Branch  Mint,  the  Director  of  each  to  send  to 
the  parent  Mint  one  piece  out  of  every  run,  for  assay, — hoping  thus  to  relieve  the  situ- 
ation. No  action  was  taken  on  this  proposal,  but  all  through  the  month  of  April  the 
assay  offices  were  working  night  and  day,  and  yet  could  not  keep  pace  with  their 
deposits. 

“Alta  California”  of  October  23,  1855,  contained  the  following  article  in  regard 
to  the  condition  of  Calfornia’s  currency  : 

There  probably  never  has  been  any  single  State  in  the  Union  so  imposed  upon  with  a 
mixed  and  debased  currency  as  California.  Even  before  her  adoption  into  the  Union  as  one 
of  the  Federal  States  the  evil  began,  and  the  old  Spanish  or  Mexican  currency  of  Ounces  and 
Dollars  and  their  subdivisions  was  interfered  with  by  clipped  coins  from  the  southern  coast, 
adulterated  Dollars  from  Bolivia,  “ Milreis  ” from  Brazil,  and  other  pieces  the  value  of  which 
would  puzzle  the  Director  of  the  Mint  to  determine.  The  discovery  of  gold  in  untold  quanti- 
ties in  our  mountains  created  a still  greater  demand  for  coin,  which  had  to  be  supplied  by  some 


INTRODUCTION. 


XXV 


means  or  other,  and  in  the  absence  of  legalized  issues  private  coiners  commenced  operations, 
and  we  had  “ Beaver”  pieces  from  Oregon,  Mormon  coin,  both  from  Utah  and  various  points  in 
the  State,  not  to  speak  of  “ S.  M.  V.,”  “ Wright’s  Miner’s  Bank,”  “ Baldwin’s  Half  Eagles,” 
etc.,  etc.  These  have  all  passed  away,  and  although  many  of  them  were  practically  a “ shave  ” 
on  the  recipient,  in  value,  they  answered  a good  purpose.  The  presence  of  an  assayer,  be  he 
good  or  bad,  helped  the  miners  by  establishing  a standard  of  gold,  and  by  the  time  that  Mr. 
Humbert  (a  man  who  has  done  more  than  any  single  person  we  know  of,  and  has  met  with  no 
reward  at  all  commensurate  with  his  services)  had  got  through  his  labors  as  a United  States 
officer,  most  of  them  had  disappeared. 

The  age  of  gold  having  passed  away,  that  of  silver  came  into  full  operation,  and  we  were 
deluged  with  Francs,  Pistareens,  Double  Reals,  and  countless  other  pieces,  all  going  to  repre- 
sent Quarter  Dollars,  and  ranging  in  value  from  16  to  i8f  cents.  We  need  not  recall  to  the 
recollection  of  our  readers  the  position  of  our  currency  a year  ago.  It  presented  a perfect 
anomaly.  Four  single  Francs  for  all  purposes  of  business  equalled  in  value  a single  piece  of 
Five-francs.  Four  Pistareens  (sixty-four  cents)  ranked  as  equal  to  a Spanish  milled  Dollar, 
worth  with  the  premium  certainly  $1.05.  The  New  Granada  eighty-cent  Dollar  was  equally 
worth  $1.05  (the  Spanish  milled  Dollar),  and  sixty-four  cents  (say,  four  pistareens).  Every- 
thing in  a word  was  confusion,  worse  confounded. 

The  evil  at  last  was  so  great  that  it  became  imperative  on  the  part  of  the  bullion  dealers 
to  make  an  effort  to  stop  its  course.  The  importation  of  Francs,  which  had  been  carried  on  to 
a great  extent  by  outside  operators  and  a few  foreign  houses,  was  stopped  by  the  action  of  the 
bankers  in  refusing  to  take  them  for  more  than  twenty  cents,  which,  although  representing  a 
trifle  over  their  real  value,  sufficed  to  drive  them  out  of  circulation.  In  fact,  as  soon  as  the 
rate  became  reduced  in  banks  the  value  sank  still  further  outside,  and  in  common  trade  they 
were  passed  for  only  12^  cents,  or  7^  cents  less  than  they  were  actually  worth. 

The  movement  made  last  year  was  a good  one,  but  it  did  not  go  far  enough.  We  might 
almost  say  now  that  the  ages  of  both  silver  and  gold  were  passed,  but  that  the  age  of  brass  had 
set  in.  We  have  at  present  in  circulation  a Pistareen  (value  16  cents) ; the  Chile  Double  Real 
(value  about  19  cents);  the  Rupee  (value  44  cents),  and  a number  of  German  and  Spanish 
coins,  the  value  of  which  we  cannot  at  the  moment  determine,  but  which  all  pass  in  common 
for  twenty-five  cents,  the  Rupee  ranking  at  fifty  cents,  or  six  cents  more  than  its  actual  value. 
We  have  also  the  Sovereign,  passing  for  $5,  when  its  actual  value  is  but  $4.85;  the  Napoleon, 
value  $3.88,  passing  for  $4,  and  Thalers,  $3.88,  and  Double-thalers,  $7.74,  circulating  for  a 
large  advance  on  their  actual  worth 

In  1856,  notwithstanding  the  fact  that  the  Mint  was  in  operation  and  coining 
several  million  dollars’  worth  of  gold  monthly,  the  prevalence  of  private  issues  was  as 
great  as  ever,  the  California  coins  as  a matter  of  fact  comprising  nearly  the  whole  of  the 
local  circulation  ; yet  the  Mint  alone  was  striking  coins,  the  assay  offices  of  Kellogg  & 
Humbert,  and  Wass,  Molitor  & Co.,  having  ceased  their  private  issues  in  1855.  At  this 
time  it  was  estimated  that  from  five  to  eight  million  dollars’  worth  of  private  coin  were 
in  circulation,  which  were  held  at  a nominal  value  of  one-half  of  one  per  cent,  in  excess 
of  their  value  at  the  Mint. 

Several  conferences  were  held  in  the  latter  part  of  March,  1856,  by  the  leading 
merchants  and  bankers,  for  the  purpose  of  providing  some  means  of  excluding  this 
private  coin  from  circulation  and  restoring  the  currency  of  the  State  to  a more  reliable 
basis.  At  a meeting  held  on  March  25,  at  the  office  of  Alsop  & Co.,  to  take  action, 


XXVI 


PRIVATE  GOLD  COINAGE. 


the  following  merchants  and  bankers  were  represented : — Macondray  & Co.,  Alsop  & 
Co.,  Goodwin  & Co.,  Eugene  Kelly  & Co.,  Flint,  Peabody  & Co.,  Cross  & Co.,  Dupuy, 
Foulkes  & Co.,  Samuel  Price  & Co.,  F.  and  H.  Selby  & Co.,  Morgan,  Hathaway  & Co., 
James  Patrick  & Co.,  Bond  & Hale,  Seligman  & Co.,  Dewitt  & Harrison,  Arrington  & 
Co.,  J.  B.  Thomas,  and  William  O.  Dow,  and  the  following  Resolutions  were  adopted  : 

Resolved , That,  in  our  opinion,  the  time  has  arrived  for  placing  the  currency  of  this  State 
on  a sound  basis,  and  that  to  continue  to  receive  as  currency  private  coinage  is  attended  with 
present  inconvenience  and  possible  loss  to  the  community. 

Resolved , That  we  use  all  legitimate  means  to  discountenance  the  circulation  of  private 
and  illegal  coin. 

A committee  of  three  members,  Messrs.  Flint,  Minturn,  and  Bissell,  was  appointed 
to  wait  upon  the  bankers  and  request  them  to  take  such  steps  as  they  might  deem  ex- 
pedient to  carry  out  the  views  expressed.  This  committee  found  that  a majority  were 
favorable  to  the  plan,  and  an  agreement  was  entered  into  by  all  the  banking  firms  except 
two,  to  the  effect  that  they  would  receive  private  coin  on  deposit  only  at  one-half  per 
cent,  discount.  Because  of  the  refusal  of  the  two  bankers  mentioned  to  sign  the  agree- 
ment, several  others  withdrew  their  names,  which  resulted  in  the  arrangements  being 
dropped. 

The  “San  Francisco  Bulletin,”  of  April  io,  1856,  makes  the  following  editorial 
comment  upon  the  action  of  the  merchants  and  bankers,  and  the  refusal  of  some  of 
them  to  join  the  movement  to  drive  private  coins  from  circulation,  and  this  may  be 
regarded  as  a clear  exposition  of  the  situation. 

....  The  fact  that  the  meeting  seems  to  have  been  confined  to  the  larger  class  of  houses, 
comprising  by  the  way  some  of  the  best  names  in  the  city,  however  objectionable  it  may  seem 
(and  it  does  so  seem  to  us),  on  the  ground  of  its  being  a movement  restricted  to  a few  persons 
and  therefore  liable  to  the  suspicion  of  having  private  ends  in  view,  should  not  prevent  a fair 
inquiry  into  the  case.  The  interests  of  larger  merchants  are  undoubtedly  more  directly  affected 
at  present  than  the  smaller  ones ; but  a further  inquiry  will  show  that,  in  looking  after  their 
own  interests,  they  are  also  acting  for  the  good  of  all.  At  some  time  or  other  this  private  coin- 
age must  cease,  and  that  of  the  Mint  be  the  only  currency.  It  is  right  it  should  be  so,  because 
in  the  Mint  the  public  have  the  only  sure  guaranty  that  they  will  be  protected.  In  the  absence 
of  a Mint  to  supply  our  wants,  private  coinage  has  been  of  much  benefit  to  our  people  ; but 
that  time  has  passed,  and  the  question  arises  whether  this  coinage  should  not  be  stopped  at 
once  ? We  think  it  should  be,  and  the  loss  of  one-half  per  cent,  had  better  be  suffered  now 
at  the  present,  than  at  a later  period  on  a much  larger  sum.  The  bankers  of  course  feel  a 
reluctance  to  start  this  matter,  because  it  will  be  thrown  back  at  them  that  they  had  an  active 
part  in  getting  the  money  in  circulation,  and  this  the  bankers  cannot  deny.  They  will,  how- 
ever suffer  their  proportion  of  the  loss,  for  until  there  be  a general  agreement  to  refuse  this 
coin  the  bankers  cannot  do  otherwise  than  take  it  at  the  counter,  and  all  their  efforts  to  “work 
it  off  ” will  prove  ineffectual. 

The  American  decimals  are  not  the  only  coins  that  have  been  made  in  this  city.  It  is 
well  known  that  Woods  had  a contract  with  Santa  Anna  to  coin  Mexican  Ounces  in  this  city, 
under  the  sanction  of  the  Mexican  Government.  Woods  sent  Sam  Ward  to  Mexico,  and  Ward 
agreed  to  pay  the  one-legged  Dictator  a certain  sum  for  the  privilege.  Drafts  were  drawn  on 


INTRODUCTION. 


xxvn 


Adams  & Co.,  and,  as  we  understood,  were  cashed  in  Mexico,  Santa  Anna  pocketing  the  pro- 
ceeds. Woods  accepted  the  drafts  here,  but  as  far  as  we  can  learn  they  were  never  paid,  as 
before  they  became  due  Adams  & Co.  had  failed.  The  Ounces  were  coined  on  Montgomery 
Street,  and  when,  after  the  failure  of  Adams  & Co.,  we  heard  of  the  gold-dust  “ doctoring,”  we 
at  once  suspected  there  was  some  doctoring  about  these  Ounces,  which  we  believe  were  all 
shipped  to  China,  through  Bolton  & Baron,  who  bought  them  of  Woods’  broker,  without  know- 
ing anything  about  where  they  were  made.  It  was  thought  best  to  say  nothing  about  this 
affair  until  a return  from  China  could  be  had,  to  see  if  the  Ounces  were  of  good  weight  and 
fineness.  We  were  subsequently  told  that  returns  had  been  received,  and  the  coin  [found  to  be] 
both  of  full  weight  and  fineness,  and  then,  so  far  as  Woods  was  concerned,  the  matter  was 
dropped,  for  it  was  very  questionable  whether  with  the  sanction  of  the  Mexican  Government 
any  law  had  been  violated,  unless  it  could  be  proved  that  the  coin  fell  short  of  the  value  it  pur- 
ported to  be. 

It  is  admitted,  we  believe,  that  no  law  exists  to  prevent  the  private  coinage  of  Kellogg  & 
Co.,  which  coin,  as  successor  to  [that  of]  Moffat  & Co.,  has  always  stood  fair,  and  has  never  been 
questioned.  But  when  it  is  borne  in  mind  that  Mr.  Kellogg  is  not  bound  to  redeem  that  coin 
in  case  it  should  fall  short,  it  will  be  admitted  on  all  hands  that  if  the  Mint  be  able  to  supply 
the  wants  of  the  community,  we  had  better  confine  our  currency  to  the  issues  of  that  establish- 
ment. It  is  said  that  Kellogg  & Co.  are  not  now  making  any  of  this  coin,  have  not  been  doing 
so  for  some  time,  and  do  not  intend  to.  If  this  be  so,  then  Mr.  Kellogg’s  interests  are  not 
affected  at  all,  and  the  matter  rests  solely  with  the  people. 

One  objection  alleged  against  this  coin  of  Kellogg’s  is  that  not  having  as  much  alloy  as 
the  Mint  coin  it  is  softer  and  wears  away  faster.  This  is  a good  reason  for  getting  it  out  of 
the  way  before  it  wears  off  too  much.  Supposing  the  amount  of  private  coin  in  circulation  to 
be  as  large  as  stated,  — $8,000,000,  — the  loss  to  the  entire  community  at  one-half  percent, 
discount  will  be  $40,000.  Has  not  the  evil  extended  far  enough,  or  shall  we  wait  until,  by  the 
wearing  away  of  the  coin,  the  percentage  be  increased  to  one  instead  of  one-half  per  cent.  ? 
We  are  decidedly  in  favor  of  stopping  it  where  it  is,  and  we  think  this  meeting  of  merchants, 
in  looking  to  their  own  direct  interests  have  been  also  caring  for  the  public  good.  All  the 
bankers  except  two,  we  are  told,  agreed  to  the  wishes  of  the  merchants.  These  two  were 
Messrs.  Tallant  & Wilde,  and  B.  Davidson.  The  reason  urged  by  Tallant  & Wilde  was  that 
one-half  per  cent,  was  not  enough  to  pay  for  recoining  or  for  shipping.  Mark  that ! “ Not 

enough  1 ” If  one-half  per  cent,  be  not  enough  now,  what  will  be  enough  for  a year  hence  ? 

For  the  present,  we  simply  remark  that  we  regard  this  matter  as  one  of  those  evils  which 
the  sooner  remedied  the  better.  Medicine  is  not  pleasant  at  any  time,  but  if  the  nauseous 
draught  produce  a cure,  the  sooner  it  be  taken  the  better  for  the  patient.  The  bankers  are  no 
more  to  be  blamed  for  circulating  this  coin  than  any  other  class.  Mr.  Kellogg  is  not  to  be 
blamed,  for  at  the  time  he  issued  the  coin  it  was  needed,  and  it  has  been  of  great  convenience  in 
all  commercial  transactions.  The  public  are  not  to  be  blamed,  although  they  are  now  about  to 
suffer  the  loss.  The  whole  blame  rests  on  the  Federal  Government,  which,  by  not  supplying 
us  with  a Mint  when  we  needed  one,  forced  us  to  adopt  the  only  remedy  left  us.  The  public 
unfortunately  are  the  sufferers  throughout.  They  suffered  in  the  case  of  Wright,  Baldwin,  and 
other  coiners.  They  suffered  in  the  United  States  Assay  Office  slugs,  and  now  the  winding-up, 
that  all  foresaw  must  come  sooner  or  later,  has  at  last  arrived,  and  we  have  now  to  suffer  in  this 
Moffat-Kellogg  coin,  which  was  among  the  first,  is  the  last,  and  has  been  to  the  people  the  best 
of  the  whole.  Well,  let  it  come ; it  is  the  last,  and  the  sooner  it  is  over  the  better.  These  are 
our  opinions.  If  any  of  our  readers  differ  with  us  our  columns  are  open  to  them. 


PRIVATE  GOLD  COINAGE. 


xxviii 

In  the  Summer  of  1856  the  demand  for  gold  coins  in  San  Francisco  for  export  pur- 
poses again  became  so  great  that  the  entire  product  of  the  Mint  was  shipped  away  as  fast 
as  it  was  struck.  When  the  Mint  was  forced  to  close  for  repairs,  in  September,  only  a 
small  amount  of  the  United  States  coinage  was  available,  and  it  once  more  became  neces- 
sary to  fall  back  upon  the  supply  of  private  issues,  for  export,  even  though  this  involved 
a loss  of  one  per  cent,  as  against  the  regular  coins.  Even  these  — great  as  seems  to 
have  been  the  supply  that  still  lingered  — were  not  sufficient  for  the  demand,  and  no 
less  an  authority  than  that  of  “Prices  Current,”  San  Francisco’s  leading  commercial 
paper,  stated  on  September  19,  1856,  that  with  the  Mint  still  closed,  there  was  a strong 
probability  that  the  merchants  and  bankers  would  again  be  obliged  to  have  recourse  to 
private  coinage,  with  which  to  carry  on  business,  in  case  it  did  not  soon  resume  opera- 
tions. “As  it  is,”  it  said,  “a  large  portion  of  the  old  private  coins  have  been  shipped 
out  of  the  country.”  But  a fortnight  later  (October  4,  1856),  the  same  paper  tells  us 
that  the  assay  offices  were  striking  no  coins ; the  Mint  was  soon  at  work  again,  and  thus, 
so  far  as  general  circulation  was  concerned,  the  private  gold  coins  of  California  quietly 
passed  out  of  existence. 

EDGAR  H.  ADAMS. 


PRIVATE  GOLD  COINAGE. 

I. 


THE  STATE  ASSAY  OFFICE 

OF  CALIFORNIA. 

1850. 


BY 

EDGAR  H.  ADAMS. 


NEW  YORK, 
1911. 


REPRINTED  FROM 

THE  AMERICAN  JOURNAL  OF  NUMISMATICS. 


PRIVATE  GOLD  COINAGE. 


I. 

THE  STATE  ASSAY  OFFICE  OF  CALIFORNIA. 

As  the  years  gradually  force  farther  into  the  background  the  world- 
famous  gold  days  of  ’49,  the  interest  of  students  of  American  history  in  that 
important  period  of  the  nineteenth  century  becomes  more  pronounced,  and 
every  detail  of  those  times  when  adventurers  flocked  to  the  Western  El  Do- 
rado from  all  parts  of  the  world,  overland  and  by  sea,  is  now  beginning  to 
attract  attention. 

Conspicuous  among  the  many  novel  features  of  California  in  the  pioneer 
days  is  the  gold  currency,  of  various  forms  and  denominations,  made  outside 
of  Government  authority  from  the  gold  taken  from  the  placers  of  the  Sierra 
Nevada  mountains.  At  the  time  of  the  issue  of  this  coinage  there  were  so 
many  happenings  of  greater  importance  that  but  little  attention  was  paid  to 
it  except  from  the  standpoint  of  utility.  But  now  that  all  the  great  occur- 
rences of  the  period  of  ’49  have  been  noted,  discussed,  and  assimilated,  the 
less  important  happenings  are  beginning  to  rise  to  the  surface,  uppermost 
among  which  comes  the  unofficial  gold  coinage. 

So  little  familiar  are  we  now-a  days  with  the  conditions  of  the  past  in 
respect  to  private  gold  coinage  that  we  view  with  astonishment  the  fact  that 
such  issues  were  freely  made  and  as  freely  circulated ; and  there  naturally  ensues 
the  desire  to  know  why  such  coins  were  made,  what  were  the  circumstances 
that  brought  them  into  being,  and  why  the  Government  took  no  steps  to  pre- 
vent their  manufacture  and  circulation. 

As  there  were  no  less  than  fifteen  establishments  in  California  which  from 
time  to  time  made  gold  coins  for  circulation  from  1849  to  1855,  an  exhaustive 
history  of  the  operations  of  all  these  establishments  represents  considerable 
volume,  and  yet  it  is  felt  that  the  full  details  should  be  given,  if  the  student 
of  numismatics  is  to  be  placed  in  a position  to  do  his  own  thinking  and  to 
draw  his  own  deductions. 

It  is  the  intention  of  the  writer  to  give  detailed  accounts  of  each  of  these 
private  minting  establishments,  which  will  embrace  all  the  information  he  has 


4 


PRIVATE  GOLD  COINAGE. 


been  able  to  gather  upon  the  subject  after  a search  through  the  principal  Cal- 
ifornia libraries.  If  at  times  these  articles  seem  to  be  long  drawn  out,  because 
of  the  publication  in  full  of  the  text  of  some  important  document  or  announce- 
ment, the  reader  will  understand  that  this  is  done  for  the  purpose  of  grouping 
all  the  known  information,  so  that  a student  of  both  the  present  and  the  future 
may  have  it  at  hand  in  available  form;  for  the  complete  history  of  the  gold 
coinage  of  California  must  be  written  later,  since  there  are  at  present  too 
many  gaps  to  permit  the  preparation  of  an  adequate  work  on  the  subject. 

We  will  first  take  up  the  operations  of  the  California  State  Assay  Office, 
for  the  reason  that,  though  other  institutions  preceded  it  by  a few  months  in 
the  production  of  a gold  currency,  yet  a State  establishment  for  the  manufac- 
ture of  a gold  circulating  medium  was  first  mentioned  early  in  1848,  long 
before  the  issue  of  any  of  the  coins  by  private  persons,  and  it  should  there- 
fore have  precedence  over  all  others. 

The  State  Assay  Office  of  California  is  interesting  to  students  of  the  cur- 
rency of  this  country  for  a number  of  reasons.  First,  and  perhaps  most  im- 
portant of  all,  that  establishment  was  the  only  one  of  the  kind  ever  operated 
in  the  United  States,  under  the  authority  of  a State.  Secondly,  its  issues 
were  so  closely  allied  to  an  actual  gold  coinage  that  it  is  an  open  question  if 
California,  through  its  medium,  did  not  unpremeditatingly  violate  a clause  of 
the  United  States  Constitution  which  forbids  any  State  to  issue  currency. 
Third,  the  issues  of  this  Assay  Office  were  the  first  to  gain  the  title  of  “slugs,” 
by  which  designation  many  subsequent  issues  of  California  were  known. 

The  Assay  Office  was  greatly  needed  on  account  of  the  indefinite  value 
of  gold-dust,  which  was  the  principal  circulating  medium  of  California  from 
the  time  of  the  discovery  of  gold  at  Coloma  in  January,  1848. 

There  was  no  standard  value  of  gold.  It  varied  in  value  according  to 
conditions.  At  the  mines  and  even  at  certain  places  along  the  coast,  gold 
was  frequently  sold  at  $6  and  $8  an  ounce,  although  worth  on  an  average 
around  $18.  There  were  many  instances  where  it  was  sold  for  less,  especially 
by  the  Indians,  who  are  said  to  have  sold  gold-dust  as  low  as  a dollar  an 
ounce,  a silver  dollar  having  a real  value  in  their  eyes,  while  they  wondered 
why  the  white  men  so  highly  regarded  gold. 

All  kinds  of  weights  were  used,  many  of  them  fraudulent.  One  style  of 
weighing  that  found  favor  at  the  mines  was  to  use  two  empty  sardine  boxes 
as  balances,  with  a silver  dollar  as  an  ounce  weight.  Of  course  a dollar  was 
a good  deal  less  than  an  ounce  in  weight.  And  there  is  even  record  that  gold 
was  bought  and  sold  by  the  avoirdupois  ounce. 

The  private  gold  coins  made  their  appearance  in  1849.  In  many  in- 
stances these  private  coins  soon  fell  into  disrepute  as  they  were  worth  consid- 


THE  STATE  ASSAY  OFFICE  OF  CALIFORNIA. 


5 


erably  less  than  their  stamped  value,  and  at  one  time  certain  of  these  pieces 
were  accepted  at  bullion  value  only,  and  were  not  desirable  even  then.  These 
coins  were  accompanied  by  the  general  circulation  of  adulterated  gold-dust 
and  bogus  nuggets. 

A tremendous  trade  was  carried  on  in  different  parts  of  California,  and 
a stable  circulating  medium  of  definite  value  was  urgently  required,  which  led 
again  and  again  to  agitation  for  the  establishment  of  a United  States  Branch 
Mint  or  an  Assay  Office. 

The  creation  of  a State  Assay  Office  had  been  suggested  as  early  as  July 
22,  1848,  when  at  a meeting  of  the  citizens  of  San  Francisco  a resolution  was 
addressed  to  the  Military  Governor,  Richard  B.  Mason,  Colonel  of  United 
States  Dragoons,  to  appoint  one  or  more  assayers  to  test  the  quality  of  the 
gold  taken  from  the  placers  of  the  Sacramento.  Also  that  the  Governor  ap- 
point a competent  person  to  superintend  the  conversion  of  gold  into  ingots 
of  convenient  weights,  the  same  to  be  stamped  with  the  name  of  the  person 
furnishing  the  gold  to  be  cast,  the  weight,  and,  if  possible,  the  fineness  in 
reference  to  standard ; the  said  officer  to  keep  record  of  all  gold  cast,  the  ex- 
penses of  casting  to  be  defrayed  by  the  person  furnishing  the  raw  material. 
This  resolution,  for  some  reason,  did  not  meet  with  the  approval  of  Governor 
Mason. 

Nothing  further  was  done  toward  the  establishment  of  a State  Assay 
Office  until  April,  1850,  when  a meeting  of  San  Francisco  business  men  was 
held  to  take  action  upon  the  use  of  quicksilver  gold  as  a currency.  A com- 
mittee appointed  at  this  meeting  reported  on  April  5 that,  owing  to  the  ease 
with  which  quicksilver  gold  could  be  adulterated,  the  community  ought  to 
refuse  to  recognize  it  as  a currency : also  that  the  reception  of  California  coin 
be  refused  as  a currency,  owing  to  its  erratic  value.  It  further  recommended 
that  a committee  be  appointed  to  receive  proposals  for  assaying,  and  to  satisfy 
themselves  as  to  the  skill  and  integrity  of  persons  intending  to  become  assay- 
ers, and  to  recommend  the  Legislature  to  appoint  one  or  more  of  the  appli- 
cants to  make  ingots  of  the  fineness  and  weight  of  the  United  States  Mint 
values,  at  five  per  cent,  discount  from  the  same,  “ which  will  be  received  by 
them,  and  that  gold-dust  be  received  in  payment  in  its  natural  form  at  $16 
per  ounce.” 

The  establishment  of  the  State  Assay  Office  was  intended  to  remedy  a 
number  of  evils  to  which  the  mining  community  had  long  been  subjected,  as 
the  raw  gold  as  taken  from  the  mines  had  been  almost  exclusively  handled  by 
speculators  at  $2  per  ounce  less  than  its  real  value.  The  gold-dust,  which 
was  current  before  the  operation  of  the  State  Assay  Office,  had  an  average 
intrinsic  value  of  $18  to  the  ounce,  the  assays  ranging  from  $17.90  to  $18.20, 
although  passing  current  at  only  $16  to  the  ounce.  Quicksilver  gold,  which 


6 


PRIVATE  GOLD  COINAGE. 


passed  current  at  only  $14  an  ounce,  was  really  worth  more  than  the  average 
gold-dust,  and  it  is  said  that  the  dealers  who  received  it  at  $14,  shipped  it  to 
the  East  and  realized  a profit  of  from  $4  to  $5  on  each  ounce. 

On  April  6,  1850,  the  merchants  of  San  Francisco  addressed  a petition 
to  the  California  Legislature  praying  that  the  office  of  State  Assayer  be 
created,  whose  duty  it  should  be  to  smelt  and  assay  gold-dust  and  issue  bull- 
ion bearing  upon  it  a State  stamp,  with  the  number  of  carats,  weight,  and 
mint  value  thereof,  to  be  used  as  a substitute  for  the  present  gold  currency, 
and  who  shall  give  such  bonds  and  be  subject  to  such  penalties  as  the  circum- 
stances of  the  case  might  seem  to  require.  This  petition  was  signed  by  about 
four  hundred  of  the  leading  citizens. 

On  April  12,  1850,  a number  of  prominent  citizens  of  San  Francisco 
addressed  a petition  to  Gov.  Peter  Burnett,  asking  that  Frederick  D.  Kohler 
be  appointed  as  State  Assayer.  Mr.  Kohler,  who  had  been  a jeweler  in  New 
York  city,  and  also  had  served  as  an  Alderman  of  New  York,  joined  the  gold 
rush  in  1849,  and  for  several  months  prior  to  the  establishment  of  the  State 
Assay  Office  had  conducted  a gold  assaying  establishment  in  San  Francisco 
in  partnership  with  David  C.  Broderick,  afterward  prominent  in  the  political 
life  of  California,  and  later  a United  States  Senator.  It  is  thought  that  the 
assaying  firm  of  Broderick  & Co.,  or  F.  D.  Kohler  & Co.,  made  the  five  and 
ten  dollar  gold  pieces  bearing  the  stamp  of  the  Pacific  Company,  dated  1849. 

The  bill  creating  the  office  of  State  Assayer  became  a law  on  April  20, 
1850.  The  full  text  of  the  law  is  herewith  given  : 

An  Act  creating  the  office  of  State  Assayer,  Melter,  and  Refiner  of  Gold,  and  defining 
his  duties. 

Section  1.  There  shall  be  established  in  the  City  of  San  Francisco  a State  Office  for 
assaying,  melting,  and  refining  gold. 

Section  2.  The  Governor  of  the  State  shall  appoint  two  competent  persons  to  take 
charge  and  perform  the  duties  of  said  establishment,  one  as  Director,  the  other  as  Assayer, 
Melter,  and  Refiner  of  gold.  Before  entering  upon  their  duties,  each  of  them  shall  execute  a 
bond,  with  two  or  more  good  sureties  of  $50,000  each,  to  be  approved  by  the  Governor,  con- 
ditioned for  the  skillful  and  faithful  performances  of  all  the  duties  required  of  them  by  law, 
which  bonds  shall  be  made  payable  to  the  people  of  the  State  of  California,  and  deposited  with 
the  Secretary  of  State.  They,  and  all  persons  in  their  employ,  shall  take  an  oath  before  some 
Judge,  duly  qualified  to  administer  oaths,  truthfully  and  faithfully  to  perform  iheir  trust. 

Section  3.  They  shall  be  appointed  and  hold  office  for  one  year,  and  until  their  success- 
ors are  appointed  and  qualified.  They  shall  keep  their  office  open  daily  (Sundays  excepted) 
from  9 o’clock  A.  M.,  until  2 o’clock  P.  M.,  for  the  transaction  of  business. 

Section  4.  It  shall  be  the  duty  of  the  State  Director  to  procure  and  safely  keep  a series 
of  standard  weights,  to  correspond  with  the  Troy  weights  of  the  United  States  Mint,  consist- 
ing of  pound  weights  and  the  requisite  subdivisions.  He  shall  also  receive  all  gold-dust  or 
bullion,  in  quantity  not  less  than  two  ounces,  Troy  weight,  which  may  be  offered  him  for  the 
pu;posc  of  assaying  or  refining.  All  such  gold-dust  or  bullion  shall  be  weighed,  when  practi- 


THE  STATE  ASSAY  OFFICE  OF  CALIFORNIA. 


7 


cable,  in  the  presence  of  the  depositor,  and  the  Director  shall  be  responsible  on  his  bond  for 
the  safe  keeping  and  delivery  of  the  same ; if  the  dust  or  bullion  is  in  such  a state  as  to  require 
melting  before  its  value  can  be  ascertained,  the  weight  after  melting  shall  be  considered  as  the 
weight  of  dust  or  bullion  so  deposited. 

Section  5.  It  shall  be  the  duty  of  the  Director  to  keep  a record  of  the  weight  of  all  dust 
or  bullion  received  by  him,  the  time  of  its  reception,  the  name  and  residence  of  the  person 
from  whom  it  is  received,  and  the  amount  received  from  each  person,  and  the  county  from 
which  said  dust  or  metal  was  taken,  and  upon  delivery  of  it  into  the  hands  of  the  Assayer,  shall 
take  a receipt  of  the  same  in  a book  kept  for  that  purpose. 

Section  6.  The  Director  shall  keep  a book  of  receipts,  and  a receipt  shall  be  given  to 
each  depositor  of  the  weight,  and  value  of  the  amount  deposited ; said  receipts  shall  be  regu- 
larly numbered  in  the  order  in  which  they  are  given,  and  the  number  of  the  receipt  shall  be 
entered  upon  the  margin  of  the  page  from  which  it  is  taken,  with  the  date  when  given,  the 
weight  and  value  of  the  amount,  and  the  name  of  the  person  receiving  the  receipt. 

Section  7.  It  shall  be  the  duty  of  the  State  Assayer  to  carefully  refine  and  assay  any 
and  all  gold-dust  or  bullion  placed  in  his  hands  by  the  Director  for  that  purpose,  and  to  cause 
the  same  to  be  made  into  ingots  or  bars,  in  the  form  of  an  oblong  square,  and  of  such  weight 
as  shall  be  desired  by  the  depositor.  Provided,  that  no  such  ingots  or  bars  shall  be  made  or 
issued  of  less  weight  than  two  ounces. 

Section  8.  The  State  Assayer  shall  keep  books  of  record,  in  which  shall  be  recorded 
the  original  weight  of  all  dust  or  bullion  placed  in  his  hands  by  the  Director  for  assaying, 
melting,  or  refining,  or  either,  and  the  date  of  receiving  it.  He  shall  also  keep  a record  of  the 
weight,  value,  and  fineness  of  the  respective  deposits  of  all  dust  or  bullion  assayed,  refined  or 
melted,  and  the  date  when  delivered  to  the  Director. 

Section  9.  The  State  Assayer  shall  regularly  number  and  stamp  upon  the  ingots  or  bars 
thus  made  the  true  value  in  dollars  and  cents,  and  the  correct  weight  and  carat  fineness  thereof, 
in  accordance  with  the  United  States  Mint  standard  ; also  the  letters  “cal.”  the  date,  and  his 
own  initials  in  plain  letters  over  the  words  “ State  Assayer,”  and  upon  each  end  and  side  of 
any  ingot  and  bar  so  issued,  some  uniform  stamp  or  impression,  and  shall,  as  soon  as  thus  pre- 
pared, place  it  in  the  hands  of  the  Director,  taking  his  receipt  in  a book  kept  by  the  Assayer  for 
that  purpose,  and  the  Director  shall  hand  it  over  to  the  depositor,  if  demanded,  within  four 
days  after  the  deposit  of  the  dust,  unless  the  time  shall  be  prolonged  by  the  depositor  by  a 
written  agreement,  when  the  weight  given  shall  be  returned  to  the  Director,  who  shall  cancel 
and  keep  the  same. 

Section  10.  The  State  Assayer  and  Director  shall  be  entitled  to  charge  and  collect  from 
each  depositor  one  per  cent,  each  upon  the  value  stamped  upon  the  ingots  or  bars  issued,  out 
of  which  they  shall  pay  all  expenses  attending  upon  their  duties  as  prescribed  in  this  Act.  The 
balance  shall  be  equally  divided  between  them.  They  shall  also  in  addition  collect  and  retain 
in  their  possession  three-fourths  (|)  of  one  per  cent,  upon  the  total  amount  assayed  and  issued 
by  them,  which  sum  so  retained  they  shall  at  the  end  and  expiration  of  every  sixty  days,  pay 
or  cause  to  be  paid  into  the  State  Treasury  for  the  use  of  the  State. 

Section  n.  The  books  and  papers  of  this  office  shall  be  examined  every  three  months 
by  the  Attorney  General  of  the  State,  who  shall  make  a report  to  the  Governor  of  each  exami- 
nation. The  Judge  of  either  County  Court  may  institute  an  examination  when  requested  so  to 
do  by  any  depositor,  or  the  Chamber  of  Commerce,  or  Board  of  Trade  of  either  city  in  the 
State  ; and  they  shall  produce  all  books,  records,  and  papers  when  required  by  any  court  before 
whom  complaint  or  suit  is  brought  against  them,  or  either  of  them,  for  any  violation  of  this  Act. 


8 


PRIVATE  GOLD  COINAGE. 


Section  12.  They  shall  each  make  a full  and  correct  report  under  oath  to  the  State 
Treasurer,  every  sixty  days,  in  detail  of  all  transactions  in  his  official  capacity,  as  Director  or 
Assayer. 

Section  13.  All  ingots  or  bars  of  gold  bearing  the  stamp  of  State  Assayer,  as  provided 
by  this  Act,  shall  be  received  in  payment  of  all  State  and  county  dues,  taxes,  and  assessments, 
at  the  value  expressed  thereon  in  dollars  and  cents,  provided,  such  ingots  or  bars  have  not 
been  mutilated  nor  reduced  in  size,  weight,  or  value. 

Section  14.  Neither  Assayer  nor  Director  shall  loan  or  use,  or  cause  to  be  loaned  or 
used,  for  any  purpose  whatever,  any  gold-dust  or  bullion  in  their  possession  for  account  of 
depositors,  and  any  use  which  shall  be  made  of  any  gold-dust  or  bullion  deposited  with  them 
otherwise  than  for  the  purpose  specified  in  this  Act  shall  be  deemed  a misdemeanor,  and  either 
of  them  on  conviction  thereof  before  any  competent  tribunal,  shall  be  punished  for  each  offence 
by  a fine  not  less  than  one  thousand  dollars,  and  by  imprisonment  not  less  than  six  months. 

Section  15.  The  Governor  may,  when  petitioned  so  to  do,  direct  the  Director  and  As- 
sayer to  establish  a branch  or  branches  of  their  office  at  Sacramento,  and  Stockton,  or  Sonora. 
They  shall  cause  all  business  of  such  branch  or  branches  to  be  conducted  in  all  respects  in 
accordance  w'ith  the  provisions  of  this  Act,  regulating  the  office  at  San  Francisco.  The  Director 
and  Assayer  shall  give  an  additional  bond  of  $50,000  for  each  branch  formed  under  the  pro- 
visions of  this  Act,  and  all  ingots  or  bars  made  at  either  branch  shall  be  stamped,  marked, 
and  numbered  as  directed  in  Section  9,  and  in  addition  the  words  “ Sacramento,”  or  “ Stock- 
ton,”  or  “ Sonora.” 

Section  16.  The  Director  and  Assayer  shall  be  responsible  on  his  bond  for  all  the  acts 
of  their  employes  and  agents. 

Section  17.  Any  person  or  persons  who  shall  alter,  mutilate,  reduce  in  weight,  clip,  file, 
sweat,  alloy,  or  reduce  in  value  in  any  way  any  ingots  or  bars,  made  under  the  provisions  of 
this  Act,  shall  be  deemed  guilty  of  a misdemeanor,  and  on  conviction  thereof  before  any  com- 
petent tribunal  shall  be  punished  for  each  offence  by  fine  not  less  than  one  thousand  dollars, 
nor  more  than  fifty  thousand  dollars,  and  imprisonment  not  less  than  six  months,  nor  more  than 
two  years. 

Section  18.  If  any  person  shall  make,  or  cause  to  be  made,  forged  or  counterfeited,  or 
aid  or  assist  in  making  or  circulating  any  ingots  or  bars  which  may  be  made  under  the  provi- 
sions of  this  Act,  he  or  they  shall  be  considered  guilty  of  counterfeiting,  and  shall,  on  conviction 
thereof,  be  punished  by  fine  not  exceeding  five  thousand  dollars,  and  by  imprisonment  in  the 
State  prison  for  a term  not  exceeding  three  years. 

Section  19.  Whenever  any  branch  Mint  of  the  United  States  shall  be  in  operation  within 
this  State  it  shall  be  the  duty  of  the  Governor  to  issue  his  proclamation  stating  the  fact,  and 
abolishing  the  office  of  State  Assayer  and  Director. 

Section  20.  If  there  shall  be  any  error,  either  in  the  weight,  quality,  or  value  of  the  gold 
or  metal  so  stamped  upon  the  said  ingots  or  bars  issued  by  the  said  Assayer  and  Director,  they 
shall  forfeit  the  percentage  allowed  to  them,  and  shall  also  be  liable  to  the  amount  of  the  dif- 
ference between  the  stamp  upon  said  ingots  or  bars  and  its  true  value  at  the  United  States 
Mint  standard,  and  shall  also  pay  all  damages  that  may  accrue  by  such  error,  and  may  be  sued 
upon  their  bonds  or  otherwise  for  the  same  in  any  court  of  record  in  the  district  in  which  they 
shall  reside. 

Section  21.  Section  2 of  an  “Act  to  prevent  coining  of  money  by  individuals,”  passed 
April  8,  1850,  reads  as  follows  : “ Any  person  who  shall  stamp  or  impress,  or  shall  cause  to  be 
stamped  or  impressed,  upon  any  piece  of  gold  of  less  weight  than  four  ounces,  Troy  weight, 


THE  STATE  ASSAY  OFFICE  OF  CALIFORNIA. 


9 


whether  pure  or  alloyed,  any  figures,  letters,  or  marks  indicating  or  purporting  to  indicate  its 
weight,  fineness,  or  value,  shall  be  deemed  guilty  of  a misdemeanor,  and  upon  conviction  there- 
of shall  be  punished  as  prescribed  in  the  preceding  section.”  So  much  of  this  section  above 
recited  as  may  conflict  or  be  inconsistent  with  any  of  the  above  provisions  of  this  Act,  is  hereby 
repealed. 

Upon  the  passage  of  the  Act  creating  the  State  Assay  Office,  Governor 
Burnett  appointed  O.  P.  Sutton  as  Director  and  Frederick  D.  Kohler  as 
State  Assayer.  Mr.  Kohler  at  once  abandoned  his  private  assaying  business 
in  Clay  Street,  San  Francisco,  which  was  sold  to  Baldwin  & Co.,  and  this 
announcement  appeared  in  “Alta  California”  on  May  24,  1850: 

The  undersigned  have  opened  an  office  in  the  building  now  occupied  by  Messrs.  Baldwin 
& Co.,  south  side  of  Portsmouth  Square,  and  will  be  prepared  to  receive  gold-dust  for  smelt- 
ing and  assaying  on  Monday  the  13th,  in  accordance  with  the  provision  of  the  law  passed  by 
the  Legislature  of  the  State,  April  20,  1850.  In  making  this  announcement  we  beg  leave  to 
state  that  desiring  to  establish  an  office  at  the  earliest  practicable  moment  our  arrangements 
are  necessarily  less  complete  than  they  otherwise  would  have  been  ; nevertheless,  we  trust  that 
they  will  be  found  sufficient  to  meet  the  wants  of  the  community. 

O.  P.  Dutton,  Director. 

F.  D.  Kohler,  Assayer. 

About  5.000  ounces  of  gold  were  deposited  with  the  State  Assayer  the 
first  day,  larger  amounts  following.  One  of  the  deposits  showed  an  original 
weight  of  6892  dwts.,  which  after  smelting  weighed  682^  dwts.  The  fine- 
ness of  this  lot  was  20 J carats,  and  the  value  $570.54.  On  this  bar  the 
gold-dust  brokers  had  marked  a value  of  $519,  and  it  had  been  bought  by 
them  at  $14  an  ounce,  which  well  exemplified  the  benefit  the  miners  were 
to  derive  from  the  State  Assay  Office.  The  State  Assayer  also  discovered 
many  bogus  gold  nuggets,  weighing  from  a few  ounces  up  to  a pound,  and 
in  a few  days  forty  such  specimens  were  brought  in.  So  popular  did  the  new 
establishment  become  that  the  amount  of  dust  presented  was  beyond  the 
capacity  of  the  office,  unless  it  conducted  operations  day  and  night. 

As  the  law  provided  for  the  establishment  of  State  Assay  Offices  at  sev- 
eral other  cities  in  California,  provision  was  made  fora  Branch  at  Sacramento, 
on  account  of  its  nearness  to  the  great  gold  placers,  and  this  office  com- 
menced operations  about  July  1,  1850,  judging  by  an  announcement  in  the 
“ Sacramento  Daily  Transcript”  of  June  28,  1850,  which  read  : 

State  Assayer’s  Office.  — The  undersigned  have  opened  an  office  on 
Third,  near  the  corner  of  J Street,  Sacramento  City,  and  on  the  1st  of  July 
will  be  prepared  to  receive  gold-dust  for  smelting  and  assaying  in  accord 
with  the  provisions  of  a law  passed  by  the  Legislature  of  this  State,  April 
20,  1850. 

John  Bigler,  Director. 

F.  D.  Kohler,  Assayer. 

Sacramento,  June  28,  1850. 


IO 


PRIVATE  GOLD  COINAGE. 


The  ingots  issued  by  the  State  Assay  Office  ranged  in  value  from  $36.55 
to  $150,  and  the  Mint  Assayers  at  Philadelphia  were  of  the  opinion  that  they 
had  first  been  cast  and  then  finished  with  a hammer.  This  theory  is  supported 
by  the  statement  of  a pioneer  in  “ Alta  California”  of  Nov.  20,  1868  : 

Nineteen  years  ....  ago  I gazed  into  the  Assay  Office  of  Fred  Kohler,  situated  on  the 
south  side  of  Clay  Street,  watching  for  the  first  time  the  process  of  converting  gold-dust  into 
bars,  and  the  chipping  of  the  bars  into  $50  ingots.  “ Slugs  ” was  the  name  given  them.  The 
“ bankers,”  monte,  faro,  and  others,  being  short  of  coin,  and  having  plenty  of  dust,  had  it  con- 
verted into  slugs  of  that  denomination,  which  they  circulated  as  freely  as  any  other  coin,  the 
stamp  of  the  assayer  in  all  cases  being  taken  as  its  true  value.  Wass,  Molitor  & Co.,  Moffat 
& Co.,  an  assayer  at  San  Jose,  and  others  of  Mormon  vintage,  circulated  as  late  as  1852,  when 

they  finally  disappeared,  the  octagon  slug  taking  their  place the  actual  value  of  Kohler’s 

slugs  being  $52  at  the  Philadelphia  Mint. 

This  latter  statement  in  regard  to  the  value  of  the  ingots  issued  by  Mr. 
Kohler  is  substantiated  by  the  Mint  Assayers  at  Philadelphia,  who  asserted  at 
the  time  of  the  issue  of  the  pieces  that  they  found  a slight  variation  in  Mr. 
Kohler’s  assays,  and  that  on  the  average  his  bars  were  worth  at  the  Mint  one 
per  cent,  more,  perhaps  one  and  a half,  than  the  value  stamped  upon  them. 

Nevertheless  the  State  Assay  Office  ingots  were  not  at  all  popular  in 
California  among  certain  business  men  for  obvious  reasons.  The  gold-dust 
dealers  were  interested  in  keeping  the  gold  below  its  real  value.  They  decried 
the  value  of  the  ingots,  and  refused  to  receive  them  at  par  value.  This  action 
led  a number  of  the  leading  business  men  of  Sacramento  to  announce  that 
they  would  receive  the  State  ingots  of  gold  at  par,  as  valued  by  the  State 
Assayer,  and  as  expressed  thereon  in  dollars  and  cents.  At  this  time  the 
“ Sacramento  Daily  Transcript  ” made  an  interesting  editorial  reference  to  the 
matter,  which  we  think  worthy  of  reproduction.  On  July  15,  1850,  it  said  : 

But  the  bankers  and  others  in  San  Francisco  interested  in  keeping  gold  below  its  real 
worth  to  further  their  own  ends,  were  not  to  be  so  easily  checked  in  their  lucrative  operation. 
Previous  to  the  appointment  of  the  Assayer  they  called  a public  meeting,  formed  an  association, 
and  by  combined  efforts  succeeded  in  defeating  the  good  end  which  the  law  aimed  to  secure. 
Strange  to  say,  that  up  to  this  time  the  people  — merchants,  miners,  mechanics,  and  laborers  — 
have  permitted  this  combination  to  hold  the  sway,  decrying  the  value  of  the  ingots,  refuse  to 
receive  them  at  their  par  value,  and  thus  prevent  their  general  circulation  and  the  good  results 
which  would  necessarily  have  followed 

First,  then,  the  miner  parts  with  his  gold  at  $16  the  ounce.  If  he  has  fifty  ounces  it  nets 
him  in  gold  coin  $800 ; but  suppose  ingots  are  circulated  at  their  par  value,  as  they  should  be, 
the  miner  then  takes  his  fifty  ounces  to  the  Assayer’s,  where  he  pays  for  assaying  it,  say,  $1 
per  ounce,  and  it  yields  him  in  ingots,  after  the  expense  is  paid,  say  $1,  $17  per  ounce.  Fifty 
ounces  at  $17  — $850  — making  a difference  of  over  6 per  cent,  in  his  favor. 

But  a still  greater  saving  might  be  effected  on  quicksilver  gold  than  6 or  even  8 per  cent. 
Quicksilver  gold  brings  only  $14  per  ounce.  Does  the  miner  and  do  the  people  generally  know 
that  this  gold  is  worth  more  intrinsically  than  any  other?  If  they  do  not,  the  Assayer  will  tell 


THE  STATE  ASSAY  OFFICE  OF  CALIFORNIA.  n 

them  so.  The  particles  of  gold  taken  up  by  the  quicksilver  are  doubly  refined  and  pure,  and 
those  who  ship  it  to  the  States  make  the  enormous  profit  of  from  $4  to  $5  on  every  ounce 
shipped,  all  of  which  comes  out  of  the  pocket  of  the  miner  and  laborer.  The  question  may 
now  be  asked,  what  is  the  true  value  of  the  ingot,  and  it  will  probably  surprise  some  of  our 
readers  to  be  informed  that  these  ingots  which  are  refused  by  this  combination  are  worth  more 
than  American  gold  coin  [the  private  gold  coins  were  always  referred  to  as  “ California  coin” 
in  California,  while  the  regular  United  States  Mint  issues  were  entitled  “ American  coin  ”]  and 
yet  such  is  the  case ; every  ingot  stamped  $37  will  realize  $40  in  gold  coin  at  the  United  States 

Mint Shall  the  whole  community  suffer  in  order  that  those  who  are  engaged  in  this  gold 

shipping  business  may  be  aggrandized  ? We  say  emphatically  No  I Let  us  receive  the  ingots. 

It  would  seem  that  the  fifty-dollar  ingots  were  made  at  the  Sacramento 
branch  of  the  State  Assay  Office  as  well  as  at  the  one  located  at  San  Fran- 
cisco. Almarin  B.  Paul,  one  of  the  California  pioneers,  stated  that  the  “ first 
fifty-dollar  gold  piece  was  made  at  the  State  Assay  Office  in  Sacramento  City, 
located  on  Third  Street,  near  J,  and,  if  my  memory  is  correct,  in  June  or  July, 
1850.  John  Bigler,  afterward  Governor  of  California,  was  chief  of  this  office, 
and  Milton  S.  Latham,  afterward  a United  States  Senator,  was  Bigler’s  first 
assistant.  Mr.  Latham  brought  over  and  showed  to  me  a fifty-dollar  piece 
which  he  said  was  the  first  piece  made  about  this  time,  when  I was  doing  a 
mercantile  business  near  the  office,  on  J Street.” 

So  far  as  known,  only  one  ingot  that  was  issued  by  Kohler  at  the  Sacra- 
mento Assay  Office  now  exists.  The  law  specified  that  such  ingots,  in  addi- 
tion to  the  regular  inscription  to  be  borne  by  those  issued  at  the  San  Fran- 
cisco office,  should  bear  the  name  of  the  city  in  which  the  Branch  Assay 
Office  was  situated.  That  a good  many  ingots  were  issued  at  Sacramento  is 
learned  from  a statement  in  the  “ Daily  Transcript”  of  August  8,  1850,  which 
showed  ‘‘that  the  number  of  depositors  at  the  Sacramento  Assay  Office  up 
to  that  time  totaled  161.  The  value  of  the  gold,  at  $16  per  ounce,  was 
$59,028.80;  at  $14,  $51,650.84,  and  the  actual  value  at  the  United  States 
Mint,  $66,596.84.” 

Up  to  a few  years  ago  the  only  known  specimen  of  the  Kohler  ingots  was 
one  of  the  denomination  of  $40.07.  At  one  time  it  is  said  to  have  been  in 
the  coin  collection  of  the  Philadelphia  Mint.  A piece  of  the  denomination  of 
$50  was  discovered  in  the  coin  collection  of  the  California  Pioneers  Society 
by  Farran  Zerbe  in  1905,  when  he  paid  a visit  to  the  San  Francisco  Mint, 
where  the  collection  is  now  on  exhibition.  In  the  summer  of  1907  collectors 
were  gratified  to  note  still  another  variety  listed  in  the  collection  of  Bruce 
Cartwright  of  Honolulu,  which  was  disposed  of  in  London.  The  latter  piece 
was  of  the  denomination  of  $45.34,  and  is  now  owned  by  Virgil  M.  Brand  of 
Chicago.  In  1908  Mr.  Brand  came  into  the  possession  of  still  another  Koh- 
ler ingot,  of  the  denomination  of  $36.55,  issued  at  the  Sacramento  office, 
which  he  purchased  from  a family  in  whose  ownership  it  had  been  for  many 


12 


PRIVATE  GOLD  COINAGE, 


years.  This  ingot  was  one  of  a miscellaneous  collection  of  gold  coins  that 
had  been  saved  since  the  days  when  the  Kohler  slugs  circulated  in  California. 
The  design  of  the  ingot  issued  at  the  Sacramento  office  differed  from  those 
issued  at  the  San  Francisco  establishment  in  that  on  the  edge  of  the  former 
were  the  words  “ state  assayer  ” while  the  reverse  bore  the  inscription  “ f.  d. 
kohler,  state  assayer  ” in  two  lines.  The  shape  was  also  somewhat  differ- 
ent from  the  other  issues,  as  it  was  square  instead  of  oblong  in  form. 

That  still  another  specimen  of  the  State  Assay  Office  issues  may  be  in 
existence  is  indicated  by  an  illustration  of  a rectangular  bar  of  gold  of  the 
value  of  $54.09  in  “ Beyond  the  Mississippi,”  written  by  Albert  D.  Richard- 
son. The  design  of  this  piece  agrees  perfectly  with  all  the  known  issues  of 
the  San  Francisco  office,  and  may  yet  come  to  light  to  interest  students  of  the 
American  private  gold  series. 

The  State  Assay  Office  was  discontinued  when  the  United  States  Assay 
Office  began  operations  at  San  Francisco,  February  1,  1851,  the  Act  creating 
it  having  been  repealed  January  28,  1851. 

While  the  law  creating  the  State  Assay  Office  provided  for  the  careful 
keeping  of  books  to  show  the  character  and  extent  of  the  business  done,  such 
records  cannot  now  be  found.  Whether  they  have  been  mislaid  or  lost  is  not 
known,  but  much  interesting  information  in  connection  with  the  first  and  only 
State  Assay  Office  is  unavailable,  it  is  to  be  hoped  only  temporarily. 

Frederick  D.  Kohler,  as  well  as  his  first  partner,  David  C.  Broderick, 
were  both  prominent  New  York  firemen,  and  when  they  reached  California  at 
once  took  an  active  part  in  the  operations  of  the  San  Francisco  Fire  Depart- 
ment. Mr.  Kohler  became  the  first  Chief  Engineer  and  Mr.  Broderick  was 
the  foreman  of  the  Empire  Company.  It  is  said  that  but  for  the  valuable  ser- 
vices of  these  and  other  experienced  firemen,  the  fires  in  the  early  days  of 
San  Francisco  would  have  been  far  more  disastrous. 

Mr.  Kohler  conducted  a private  assay  office  after  the  State  Assay  Office 
went  out  of  existence,  as  will  appear  from  the  following  business  card  in  the 
“ Daily  Alta  California”  of  July  28,  1853  : 

United  States  Assay  Ofpice.  — Frederick  D.  Kohler,  United  States 
Assayer.  Office  at  Wass,  Molitor  St  Co.,  Merchant  Street,  San  Francisco. 

It  is  interesting  to  note  that  both  Mr.  Bigler,  Director  of  the  Sacramento 
State  Assay  Office,  and  Mr.  Latham,  his  assistant,  afterward  became  Gover- 
nors of  California,  and  the  latter  was  also  a United  States  Senator. 


PRIVATE  GOLD  COINAGE. 


II. 


THE  MOFFAT  & CO.  ISSUES. 

SAN  FRANCISCO, 

1849-53. 


BY 

EDGAR  H.  ADAMS. 


NEW  YORK. 
1911. 


REPRINTED  FROM 

THE  AMERICAN  JOURNAL  OF  NUMISMATICS. 
1911. 


II. 


MOFFAT  & CO., 

SAN  FRANCISCO,  1849-1853. 


The  coining  establishment  of  Moffat  & Co.  was  by  far  the  most  impor- 
tant of  all  the  California  private  mints,  and  an  account  of  its  operations  fur- 
nishes almost  a detailed  outline  of  the  origin,  rise,  and  fall  of  the  gold  coinage 
of  the  State,  which,  whatever  its  faults  may  have  been,  nevertheless  supplied 
the  pressing  needs  of  local  commerce  at  various  critical  periods. 

While  Moffat  & Co.  were  not  the  first  firm  of  private  coiners  to  issue 
pieces  of  gold  stamped  with  definite  values  to  pass  as  money,  yet  the  opera- 
tions of  the  firm  extended  over  a greater  range  of  years  than  any  of  the  others. 
The  issues  of  the  coining  plant  were  never  seriously  questioned,  the  assay 
office  conducted  by  them  was  nearly  always  of  a semi-official  character,  and  at 
last  the  assay  office  of  Curtis  & Perry  — two  of  the  original  members  of  the 
firm,  Mr.  Moffat  having  retired  and  Mr.  Ward  having  died  — enlarged  and 
re-equipped  with  improved  machinery,  was  continued  as  the  first  United 
States  Branch  Mint  of  San  Francisco. 

John  L.  Moffat,  a New  York  assayer,  formerly  a member  of  the  firm  of 
Wilmarth,  Moffat  & Curtis,  went  to  California  early  in  1849,  and  in  the  sum- 
mer of  that  year  opened  a smelting  and  assaying  business  in  conjunction  with 
Messrs.  Joseph  R.  Curtis,  P.  H.  W.  Perry,  and  Samuel  H.  Ward.  They  did 
an  extensive  gold  brokerage  business  at  Clay  and  Dupont  Streets,  in  con- 
nection with  their  work  of  assay,  and  purchased  much  gold-dust,  which  they 
shipped  to  the  East. 

Below  is  the  first  advertisement  of  Moffat  & Co.,  which  appeared  in  “Alta 
California”  of  Sept.  6,  1849.  This,  however,  had  probably  been  running  in 
the  paper  for  some  time  : 


PRIVATE  GOLD  COINAGE. 


14 


MOFFAT  & CO. 

John  L.  Moffat,  S.  H.  Ward, 

Jos.  R.  Curtis,  P.  H.  Perry, 

Have  erected  suitable  furnaces,  and  are  provided  with  all  the  necessary 
apparatus  and  the  most  ample  facilities  for  smelting  and  assaying  Gold 
Dust. 

The  highest  market  price  paid  for  Gold  Dust. 

They  refer  to  the  annexed  testimonials  from  the  most  eminent  Bankers, 
Merchants  and  Bullion  Brokers  of  New  York,  the  originals  of  which,  with 
other  evidences  of  character,  may  be  seen  at  their  office. 

[copy.] 

Office  of  Beebee,  Ludlow  & Co.,  Bullion  Dealers, 

New  York,  Feb.  7,  1849. 

We  have  the  fullest  confidence  in  Messrs.  Moffat  & Co.,  and  consider 
their  genuine  Assay-Stamp  equal  to  the  United  States  or  London  Mints,  and 
would  purchase  as  freely. 

Samuel  J.  Beebee, 
Beebee,  Ludlow  & Co. 


We,  the  undersigned,  citizens  of  New  York,  have  known  Mr.  John  L. 
Moffat,  of  the  late  firm  of  Wilmarth,  Moffat  & Curtis,  for  many  years. 

Some  of  us  have  had  frequent  occasion  for  his  services  as  an  Assayer  of 
Ores,  and  Gold  and  Silver,  and  we  cheerfully  unite  in  testifying  to  his  supe- 
rior skill  and  abilities  as  an  Assayer  and  Metallurgist,  his  incorruptible  in- 
tegrity and  trustworthiness,  his  high  standing  in  his  profession,  and  his 
uniform  excellence  as  a man. 


James  Harper 
Jas.  T.  Talman 
Samuel  J.  Beebee 
Beebee,  Ludlow  & Co. 
Russell  H.  Nevins 
Jacob  Little 
Frederick  Marquand 


J.  D.  Beers 
D.  Ebbets 
F.  W.  Edmonds 
Shepherd  Knapp 
Peter  Cooper 


The  Merchants  and  Bankers  of  New  York  who  have  subscribed  the  above 
statement  are  gentlemen  of  the  highest  respectability. 

R.  J.  Walker, 

San  Francisco,  21st  June,  1849.  Secretary  U.  S.  Treasury. 

A keen  need  being  felt  at  this  time  for  a circulating  medium  to  supersede 
that  of  gold-dust,  which,  owing  to  the  lack  of  coins,  constituted  the  chief  cur- 
rency, Moffat  & Co.  began  the  issue  of  small  rectangular  pieces  of  gold  of 
various  values,  ranging  from  $9.43  to  $264.  The  two  known  varieties  of 
these  bars  now  extant  are  those  of  $9.43  and  $16.  The  bars  were  stamped 


MOFFAT  & CO.,  SAN  FRANCISCO. 


*5 


with  the  name  of  the  assaying  firm,  the  quality  of  fineness  of  the  metal,  the 
weight  in  pennyweights  and  grains,  and  the  value  in  dollars  and  cents.1 

It  is  safe  to  place  the  issue  of  the  ingots  either  in  June  or  July,  1849. 
They  answered  the  purpose  for  which  they  were  made  fairly  well,  but  the  arri- 
val of  Albert  Kiiner  at  San  Francisco,  on  July  16,  made  their  further  issue 
unnecessary.  Mr.  Kiiner,  a Bavarian,  had  come  to  America  as  a cameo  cutter, 
but  upon  his  arrival  at  San  Francisco  was  at  once  employed  by  Moffat  & Co. 
to  cut  the  dies  for  a ten-dollar  piece.2 

This  ten-dollar  piece,  which  followed  closely  the  general  design  of  the 
United  States  eagle,  bore  as  distinguishing  marks  the  name  of  “ moffat  & co.” 
on  the  coronet  of  Liberty,  instead  of  the  word  “ liberty,”  as  shown  on  the 
issues  of  the  General  Government.  The  reverse  bore  an  eagle  such  as  did 
the  regular  ten-dollar  piece,  but  around  the  border,  instead  of  the  usual 
legend,  “ united  states  of  America  ” there  appeared  “ s.  m.  v.  (Standard  Mint 
Value)  California  gold,”  and  at  the  bottom  the  denomination,  “ ten  d.” 

While  the  stamp  “ s.  M.  v.”  was  intended  to  mean  that  each  of  the  coins 
struck  by  Moffat  & Co.  contained  gold  of  the  standard  mint  value,  still  the 
United  States  Mint  assayers  at  Philadelphia  took  exception  to  it.  Messrs. 
Eckfeldt  and  Dubois,  the  well-known  mint  assayers,  stated  that  in  every  case 
the  Moffat  coins  of  1849  were  of  gold  inferior  in  quality  to  the  standard  of  the 
mint.  According  to  their  assay  a mixed  lot  of  Moffat  & Co.  coins,  dated  1849 
and  1850,  showed  an  average  fineness  of  .897,  with  an  average  weight  of  258^ 
grains  to  the  ten-dollar  piece,  and  an  average  value  of  $9.97-^. 

Nevertheless  the  coins  of  Moffat  & Co.  always  enjoyed  the  greatest  con- 
fidence on  the  part  of  the  Californians  and  elsewhere,  and  even  if  they  did 
vary  at  times  and  run  below  the  value  stamped  upon  their  face  this  was  due 
to  lack  of  facilities,  it  would  seem,  rather  than  to  premeditation,  for  on  the 
other  hand  many  of  their  issues  would  at  times  run  considerably  above  their 


1 Of  recent  years  quite  a good  deal  of  question  has 
been  raised  as  to  the  year  in  which  these  gold  bars 
were  issued,  but  that  they  were  first  made  in  1849  is 
proved  by  a number  of  statements.  The  issue  of  such 
bars  was  recommended  by  a writer  in  a New  York 
newspaper  in  February,  1849.  In  a letter  the  latter 
stated  that  the  Californians  should  adopt  the  same 
plan  of  making  gold  ingots  to  be  used  as  money  that 
had  been  tried  with  success  in  Brazil,  and  it  is  sup- 
posed that  this  idea  was  adopted.  In  an  editorial  in 
“Daily  Alta  California”  of  Nov.  25,  1850,  the  writer 
referred  to  the  contemplated  issue  of  Humbert  ingots: 

“ They  will  possess  but  little,  if  any,  advantage,  over 
the  ingots  assayed  and  stamped  by  the  State  Assayer, 
all  of  which  did  no  good.  They  will  have  no  particu- 
lar advantage  over  the  ingots  prepared  by  Messrs.  Mof- 
fat & Co.  last  year,  which  failed  also  to  serve  as  coin 
for  public  use.” 

But  the  most  conclusive  proof  of  all  is  contained  in 
a paper  read  before  the  English  Numismatic  Society 
of  Nov.  22,  1849.  In  this  William  D.  Haggard  said 


that  he  had  obtained  several  specimens  of  California 
gold  from  a Mr.  Holmes,  who  had  gone  to  the  gold 
fields  in  1848,  and  had  just  returned.  Among  other 
specimens  of  raw  gold  is  “a  small  bar  of  gold,  cast  and 
stamped  at  San  Francisco,  value  sixteen  dollars,  with 
the  name  of  ‘Moffat  & Co.  20j^  Carat.  §16.00.’  A 
charge  of  two  shillings  is  made  by  them  for  converting 
one  ounce  of  gold  into  the  bar,  but  it  really  costs  the 
party  five  shillings.  The  bar  only  weighs  19  dwt.  15 
grains,  and  the  quality  being  5 grains  more  than  the 
standard,  alloy  must  be  introduced  equal  to  2 grains. 
The  California  gold  never  comes  out  more  than  3 
grains  worse  than  standard.  There  are  other  bars, 
from  fourteen  to  sixty  dollars,  which  pass  as  money 
and  are  chiefly  used  in  gambling.” 

2 Among  Mr.  Kuner’s  effects  was  an  impression  in 
wax  of  the  Moffat  & Co.  ten-dollar  piece,  without  date, 
accompanied  by  a memorandum  stating  that  the  im- 
pression had  been  taken  on  July  31,  1849,  and  was  for 
the  first  coin  to  be  issued  by  Moffat  & Co. 


i6 


PRIVATE  GOLD  COINAGE. 


face  value.  The  expert  report  upon  the  Moffat  coins  by  Messrs.  Eckfeldt  and 
Dubois  in  their  work  of  1850  gives  a close  insight  to  the  character  of  the 
coins,  four  of  Moffat  & Co.’s  ten-dollar  gold  pieces  being  analyzed. 

The  first  piece,  of  the  weight  of  258  grains,  of  a fineness  of  .884  gold,  61  thousandths 
silver,  55  thousandths  base  metals.  The  second  piece  weighed  259  grains,  898  thousandths 
gold,  41  thousandths  silver,  64  thousandths  base  metals.  The  third  showed  a weight  of  258 
grains,  of  895  thousandths  gold,  58  thousandths  silver,  47  thousandths  base  metals;  and  the 
fourth  piece  had  a weight  of  258  grains,  881  thousandths  gold,  60  thousandths  silver,  and  59 
thousandths  of  base  metals. 

It  should  be  understood  that  of  the  base  metals  in  the  alloy  only  three  or  four  thousandths 
are  to  be  set  down  as  native,  being  chiefly  iron  ; the  residue  is  copper  added  by  the  smelter. 
The  average  of  the  copper  so  added  appears  to  be  56  thousandths,  say  4^  per  cent.  Of  the 
use  of  copper  as  an  alloy,  and  not  as  a cover  for  the  substituting  of  gold,  no  one  will  complain, 
since  it  is  the  usage  of  all  mints,  intended  to  give  coin  a better  color,  and  to  make  it  harder 
and  fitter  for  wear  than  if  silver  were  used  for  the  mixture. 

From  the  foregoing  it  appears  that  while  a single  piece  may  be  worth  $9.78  to  $9.98,  the 
average  value  is  $9.88  (the  silver  not  being  in  sufficient  proportion  to  pay  for  parting),  which 
is  so  near  to  ten  dollars  that  the  use  of  copper  was  evidently  with  honest  intent. 

The  result  was  at  first  so  surprising  that  only  a decided  confirmation  could  satisfy  us.  It 
proves  what  was  not  to  be  expected,  that  the  establishment  had  gone  to  the  pains  and  expense  of 
partly  refining  out  the  silver  from  the  native  gold  in  order  to  allow  for  the  substitution  of  copper 
for  the  other  alloying  metal.  California  gold  in  its  native  state  is  not  fine  enough  to  bear  the 
addition  of  5^  per  cent,  copper,  or,  we  may  say,  any  copper  at  all,  without  debasing  the  coin 
and  injuring  the  community.  It  is  already  more  than  sufficiently  alloyed  by  the  hand  of  Nature 
with  silver  to  bring  it  down  to  standard,  and  it  was  to  the  last  degree  unlikely  that  copper 
should  have  been  added  for  any  other  purpose  than  to  swell  the  profits  of  the  private  mint. 

Unlikely  things,  however,  are  sometimes  stubbornly  true,  and  this  establishment  must  be 
exonerated  on  this  score.  The  metal  that  they  take  out  of  their  ten-dollar  piece  is  not  gold, 
but  silver.  Without  feeling  bound  to  account  for  a matter  which  does  not  belong  to  us,  we 
may  suggest  as  the  most  likely  motive  for  reddening  the  coin  with  copper  that  it  is  thereby 
relieved  from  the  pale,  ungoldlike  hue  of  the  native  melted  gold  and  looks  more  like  the  veri- 
table eagle  of  the  United  States,  to  whose  general  aspect  it  is  rather  too  closely  conformed. 

The  issue  of  such  coins  is  not  illegal,  and  under  existing  circumstances  may  be  salutary, 
or  even  dictated  by  necessity.  A coin,  with  its  native  alloy,  to  weigh  eleven  pennyweights,  or 
264  grains,  worth  on  an  average  $10  and  a few  cents  more,  was  recommended. 

The  ingots  are  pronounced  full  in  point  of  weight,  but  not  in  fineness  or  value,  varying 
grossly.  Lastly,  as  to  the  real  value  of  the  ingots  as  compared  with  the  alleged,  it  is  evident 
from  what  has  been  said  that  some  of  them  are  rated  too  low  and  others  too  high,  the  over- 
valued ones  being  apparently  the  more  recent.  What  has  surprised  us,  both  in  this  case  and 
that  of  the  private  mint  in  North  Carolina,  is  that  the  valuations  should  be  wrong  even  upon 
their  own  data,  being  deducible  by  a simple  rule  of  arithmetic. 

Every  one  knows  as  a starting  point  that  a weight  of  258  grains  of  gold,  nine-tenths  fine, 
is  by  our  laws  worth  $10.  Moffat’s  ingots  marked  2 1 3®5  carats  (88 1.6),  were  variously  calcu- 
lated $ 18.10  to  $18.14  Per  ounce;  the  proper  result  at  that  fineness  is  $18.22^.  But  perhaps, 
as  in  weight  and  quality,  so  in  value,  de  minimum  ( in  auro)  non  curat  California. 


MOFFAT  & CO.,  SAN  FRANCISCO. 


i7 


A short  time  after  the  1849  ten-dollar  piece  was  issued  by  Moffat  & Co. 
they  struck  a five-dollar  piece.  This  coin  was  similar  to  the  larger  denomi- 
nation, and  the  dies  were  also  made  by  Mr.  Kiiner. 

The  coins  of  Moffat  & Co.  were  of  the  value  stamped  upon  their  face  in 
nearly  every  instance,  and  they  therefore  enjoyed  a great  prestige  throughout 
the  Pacific  States  in  1849,  during  the  latter  part  of  the  year  that  section 
of  the  country  being  flooded  with  the  productions  of  many  other  private  mints, 
some  of  the  issues  of  which  were  very  much  below  the  value  stamped  upon 
them.  Moffat  & Co.  redeemed  their  own  coin  at  their  counters  in  silver 
whenever  presented.  As  silver  coins  were  receivable  for  customs  dues, 
they  were  on  a par  with  gold  coins  and  commanded  a premium  in  gold- 
dust. 

The  year  1850  brought  to  an  end  the  operations  of  many  of  the  private 
mints,  but  Moffat  & Co.’s  establishment  was  advanced  from  a private  to  a 
semi-official  mint. 

In  1850  Moffat  & Co.  struck  gold  coins  of  the  denomination  of  five 
dollars  only.  This  piece  was  similar  in  design  to  that  of  1849,  with  the  ex- 
ception of  the  date.  It  was  also  a product  of  the  skill  of  Engraver  Kiiner. 
These  pieces  were  struck  in  great  numbers,  as  is  evidenced  by  their  compar- 
ative abundance  even  at  the  present  time.  Their  general  use  is  proved  by 
the  fact  that,  although  specimens  are  even  now  common,  yet  it  is  difficult 
to  obtain  one  in  uncirculated  condition.  The  coins  were  of  such  good  quality 
that  they  were  quoted  at  par  in  the  market  reports,'  whereas  nearly  all  the 
other  private  coins  were  quoted  at  8 per  cent,  discount. 

In  1850  attempts  were  made  by  New  York  and  California  representatives 
in  Congress  to  have  branches  of  the  United  States  Mint  established  in  their 
respective  cities.  While  Congress  did  not  take  decisive  action  upon  this  ques- 
tion, still  it  did  authorize,  in  September,  1850,  the  Secretary  of  the  Treasury 
to  contract  with  the  owner  of  a well-established  assaying  business  in  Califor- 
nia who  should  assay  and  fix  the  value  of  gold  in  grains  and  lumps,  to  which 
he  should  affix  the  stamp  of  the  United  States,  indicating  the  fineness  and 
value  of  each  ingot. 

Moffat  & Co.  received  this  contract,  and  Augustus  Humbert,  of  New 
York  City,  a watchcase  maker,  was  appointed  United  States  Assayer,  to  place 
the  Government  stamp  upon  the  ingots  of  gold  to  be  issued  at  the  assay  office 
of  Moffat  & Co. 

1 The  San  Francisco  “ Prices  Current  ” of  Dec.  14,  $1.00;  Peruvian  dollars,  $ 1 .00  ; Chilian  dollars,  $1.00 
1850:  Gold-dust,  $16.00  to  516.25  ; Quicksilver,  5 1 5.00  5-francs,  95  cents.  At  this  date  the  statement  was 
to  $15.50;  Moffat’s  coin,  Par;  Doubloons,  $16.00;  made  in  “ Prices  Current”  that  some  fifteen  hundred 
Sovereigns,  $4.85  ; 20-franc  pieces,  $4.00,  (Custom  thousand  dollars  in  coin  was  locked  up  in  the  Custom 
House),  $3.85  ; 10-guilder  pieces,  $4.00 ; 10-thaler  House,  and  consequently  was  scarce  in  general  circu- 
pieces,  $8.00  ; Spanish  dollars,  $r. 00  ; Mexican  dollars,  lation. 


i8 


PRIVATE  GOLD  COINAGE. 


The  Assay  Office  was  created  as  a temporary  provision  which  would  take 
the  place  of  a Government  Mint,  and  was  a compromise  to  which  the  Califor- 
nia delegation  agreed  only  when  it  was  evident  that  the  bill  for  the  California 
Mint  could  not  be  passed  at  that  session.  The  advantage  to  be  derived  from 
its  operation  was  the  enhancing  of  the  price  of  gold-dust,  which  had  a widely 
fluctuating  value.  The  good  results  which  had  been  obtained  from  the  oper- 
ation of  the  State  Assay  Office  in  1850  led  the  California  delegates  to  support 
the  measure  providing  for  the  establishment  of  the  Assay  Office,  and  it  was 
expected  that  it  would  do  away  with  the  low  price  of  gold-dust,  which  had 
become  a serious  evil,  and  it  was  believed  that  at  the  next  session  of  Congress 
a mint  would  be  given  to  California. 

Moffat  & Co.,  upon  securing  the  Government  assaying  contract,  at  once 
ceased  to  issue  their  private  coins,  and  made  preparations  for  the  increase  of 
their  assaying  business  which  was  sure  to  follow  the  authority  given  to  their 
establishment.  They  obtained  a site  on  Montgomery,  between  Clay  and  Com- 
mercial Streets,  and  on  Jan.  29,  1851,  the  following  advertisement  appeared 
in  “ Daily  Alta  California”: 

United  States  Assay  Office.  — We  give  notice  that  on  or  about  the 
first  of  February  ensuing  we  will  be  prepared  to  receive  gold-dust  for  smelt- 
ing and  assaying,  and  forming  the  same  into  ingots  and  bars,  in  accordance 
with  our  recent  contract  with  the  Secretary  of  the  Treasury,  authorized  by 
Act  of  Congress  approved  Sept.  30,  1850,  under  the  supervision  of  the 
United  States  Assayer,  Augustus  Humbert,  Esq.,  who  will  cause  the  United 
States  stamp  to  be  affixed  to  the  same. 

Moffat  & Co. 

* * * * pue  notice  will  be  given  of  the  removal  of  the  United  States 
Assayer’s  Office  to  Montgomery  Street. 

Augustus  Humbert  arrived  at  San  Francisco  on  either  Jan.  30  or  31,  and 
it  is  fairly  certain  that  the  first  octagonal  fifty-dollar  gold  piece  bearing  his 
stamp  was  issued  on  one  of  these  two  days,  for  the  “ Pacific  News  ” of  San 
Francisco,  of  Feb.  1,  1851,  stated  that  “ the  dies  for  this  purpose  — the  strik- 
ing of  the  fifty-dollar  pieces — have  been  procured,  and  the  first  coin  produced 
by  them  was  shown  us  yesterday.” 

It  is  reasonable  to  suppose  that  the  United  States  Assayer  had  the  stamp 
to  be  placed  on  the  ingots  to  be  issued  by  Moffat  & Co.  made  in  New  York 
City,  and  it  is  probable  that  the  dies  were  engraved  by  C.  C.  Wright,  as  on  a 
trial  piece  in  copper  of  the  fifty-dollar  piece  occurs  the  name  of  “ Wright.” 
It  is  certain  that  Mr.  Humbert  did  not  expect  to  make  coins,  but  simply  to 
use  this  stamp  on  such  ingots  as  might  be  issued  at  the  Assay  Office,  and  the 
fact  that  the  reverse  of  the  fifty-dollar  pieces  contains  an  engine-turned  de- 


MOFFAT  & CO.,  SAN  FRANCISCO. 


19 


vice,  such  as  usually  appears  only  on  watchcases,  would  lead  one  to  believe 
that  this  embellishment  was  an  afterthought  of  Mr.  Humbert,  which  he  was 
capable  of  carrying  into  execution  himself  as  he  had  formerly  been  a watch- 
case  maker.  The  new  fifty-dollar  piece  was  the  forerunner  of  the  octagonal 
fifty-dollar  gold  pieces  which  have  since  become  famous  everywhere  as  the 
money  of  the  California  pioneers,  about  which  there  has  been  so  much  mis- 
understanding as  to  their  origin  and  value. 

The  regular  production  of  pieces  by  the  Assay  Office  seems  to  have  begun 
about  Feb.  14,  1851,  when  the  “San  Francisco  Prices  Current”  contained  an 
article  regarding  them,  with  an  illustration,  which  mentions  several  things  of 
importance  concerning  the  issues  and  the  designs,  making  the  full  reproduc- 
tion of  the  text  desirable.  The  article  says  : 

The  above  cut  represents  the  obverse  of  the  United  States  ingot,  or,  rather,  coin,  of  the 
value  of  $50,  about  to  be  issued  at  the  Government  Assay  Office.  It  is  precisely  of  this  size 
and  shape. 

The  larger  ones  of  one  and  two  hundred  dollars  are  exactly  similar,  except  they  are 
proportionately  thicker.  The  reverse  side  bears  an  impression  of  rayed  work,  without  any  in- 
scription. Upon  the  edge  is  the  following:  “Augustus  Humbert  United  States  Assayer  — 
California  Gold  1851.”  Those  of  five  hundred  and  one  thousand  dollars  are  in  form  paral- 
lelograms, about  five  inches  in  length  and  one  and  three-quarter  inches  in  breadth,  and  ranging 
in  thickness  — the  smaller  being  about  three-tenths  of  an  inch  and  the  larger  six-tenths. 

The  fifty-dollar  pieces  will  be  of  uniform  value,  and  will  be  manufactured  in  the  same 
manner  as  coins  — the  others  may  vary  according  to  weight  and  fineness  from  the  denomina- 
tion mentioned. 

By  order  of  the  Secretary  of  the  Treasury  these  ingots  and  coin  are  to  be  received  for 
duties  and  other  dues  to  the  United  States  Government,  and  our  bankers,  we  are  advised,  will 
receive  them  at  their  stamped  value. 

This  will  produce  an  important  change  in  the  monetary  affairs  here,  gold-dust  will  imme- 
diately go  up,  and  as  a necessary  consequence  foreign  and  domestic  (Eastern)  exchange  will 
be  at  a premium  of  from  5 to  7 per  cent 

The  “ Daily  Alta  California”  of  Feb.  21,  1851,  had  the  following  editorial 
comment  to  make  upon  the  advent  of  the  new  fifty-dollar  piece : 

The  new  fifty-dollar  gold  piece,  manufactured  under  the  Act  of  Congress  appointing  a 
United  States  Assay  Office  in  California,  and  made  under  the  supervision  of  the  United  States 
Assayer,  was  issued  by  Moffat  & Co.  yesterday.  About  three  hundred  of  these  pieces  have 
already  been  struck  off.  The  larger  ones,  of  one  and  two  hundred  dollars,  will  be  of  the  same 
stamp  and  size,  differing  only  in  thickness.  Those  over  $200  will  contain  the  same  stamp,  but 
will  be  struck  in  the  form  of  bars.  These  coins  are  of  course  a legal  tender,  and  are  the  coins 
of  the  United  States  Government  to  all  intents  and  purposes.  The  coin  is  peculiar,  containing 
only  one  face,  an  eagle  in  the  centre,  around  which  are  the  words  “ united  states  of  America.” 
Just  over  the  eagle  is  stamped  “887  thous.”  signifying  the  fineness  of  the  gold.  At  the  bot- 
tom is  stamped  “ 50  dolls.”  The  other  face  is  ornamented  with  a kind  of  work  technically 
called  engine-turning,  being  a number  of  radii  extending  from  the  common  centre,  in  which  is 


20 


PRIVATE  GOLD  COINAGE. 


stamped,  in  small  figures,  “ 50.”  Around  the  edge  is  stamped  the  name  of  the  United  States 
Assayer.  We  trust  our  readers  may  learn  the  character  of  this  new  coin  by  ocular  demonstra- 
tion. 


The  accounts  of  the  first  issue  of  the  fifty-dollar  pieces  in  these  two  San 
Francisco  newspapers  leads  one  to  believe  that  both  varieties  of  the  piece 
were  issued  about  the  same  time  at  the  Assay  Office.  It  has  been  supposed 
that  the  variety  with  the  letters  “ d c”  on  the  obverse  and  “ 50”  on  the  re- 
verse was  the  first  issued.  The  account  in  “ Daily  Alta  California  ” would 
seem  to  indicate  a variety  with  which  we  are  not  acquainted.  So  far  as  known, 
the  variety  with  the  “ 50”  in  the  centre  of  the  reverse  has  always  been  accom- 
panied by  an  obverse  showing  the  letters  “ d c,”  which  we  still  believe  to  have 
been  the  first  variety  issued.  But  according  to  the  “ Alta  California  ” the 
fifty-dollar  ingot  described  by  it  was  stamped  “ 50  dolls,”  which  style  of 
obverse  so  far  as  we  know,  always  accompanies  the  reverse  with  the  “ 50  ” 
omitted.  If  our  recollection  is  correct,  the  cut  in  the  “ Prices  Current”  above 
mentioned,  showed  the  "dc"  variety.  Therefore,  as  this  appeared  on  Feb. 
14,  and  the  “Alta  California”  account  on  Feb.  21,  it  may  be  that  both  vari- 
eties of  obverse  were  struck  within  this  period,  and  that  there  was  such  a 
variety  as  mentioned  in  the  latter  account.  However,  there  is  also  chance 
for  mistake  on  the  part  of  the  newspaper  writer,  especially  if  both  varieties  of 
$50  ingots  had  been  made  at  that  time,  as  such  a trifling  die  difference  would 
not  be  apparent  to  him. 

That  one  hundred  and  two  hundred  dollar  gold  pieces  were  struck  at  the 
United  States  Assay  Office  under  the  auspices  of  Moffat  & Co.,  bearing  the 
stamp  of  the  United  States  Assayer  Augustus  Humbert,  will  undoubtedly  be 
greeted  with  surprise  by  all  who  are  acquainted  with  the  subject  of  California’s 
coinage.  Certainly  the  issue  of  such  pieces  was  contemplated,  as  is  evidenced 
by  the  direct  and  definite  statements  made  by  two  of  San  Francisco’s  journals 
at  the  time  of  the  opening  of  the  United  States  Assay  Office.  A golden 
ingot  of  either  of  these  denominations  has  never  been  offered  for  sale,  nor  is 
one  known  to  be  in  any  one’s  possession.  Mr.  Frank  A.  Leach,  the  ex-Direc- 
tor  of  the  Mint,  a native  of  San  Francisco,  states  that  it  seemed  to  him  that 
there  had  been  “slugs”  of  one  hundred  dollars  circulated,  but  he  could  not 
recall  ever  having  seen  one.  He  lived  in  California  at  the  time,  and  well 
remembered  the  circulation  of  the  fifty-dollar  pieces. 

The  “ Pacific  News”  of  April  7,  1851,  said: 

It  will  be  gratifying  to  the  business  community  to  learn  that  the  bankers  have  agreed  to 
receive  on  deposit  the  fifty-dollar  ingots  stamped  by  the  United  States  Assayer.  They  have 
come  to  this  determination  simultaneously  with  the  resolve  not  to  receive  any  of  the  coins  issued 
except  those  of  Moffat’s.  The  reason  assigned  for  this  is  that  Moffat  does  not  now  issue  any 


MOFFAT  & CO.,  SAN  FRANCISCO. 


21 


more  of  these  coins,  and  redeems  with  silver  all  those  in  circulation  whenever  presented,  while 
none  of  the  others  redeem  theirs.  The  bankers  therefore  will  only  treat  these  coins  on  the 
same  footing  as  gold-dust  — that  is,  purchase  them  at  $17  per  ounce. 

While  this  resolution  will  cause  severe  inconveniences  and  loss  to  holders,  the  former  will 
be  an  immense  public  bunefit.  The  fifty-dollar  pieces,  though  not  handsome  in  appearance, 
are  very  useful,  and  can  now  be  used  in  general  business  operations,  while  the  United  States 
are  pledged  always  to  receive  them  for  their  face  value. 

The  status  of  the  fifty-dollar  piece  was  a matter  of  the  greatest  impor- 
tance to  the  Californians.  They  needed  badly  a medium  which  would  be 
receivable  at  the  Custom  House,  where  both  gold-dust  and  private  gold  coins 
were  refused  in  payment  of  import  tariffs,  and  the  Collector  was  immediately 
asked  for  his  opinion.  On  the  editorial  page  of  “ Daily  Alta  California  ” of 
Jan.  30,  1851,  appeared  the  following: 

Some  persons  having  expressed  doubt  whether  the  stamped  ingots  or  coins  to  be  issued 
by  Moffat  & Co.  under  the  late  Act  of  Congress,  under  the  supervision  of  the  United  States 
Assayer,  will  be  received  in  payment  of  Government  dues,  Mr.  Curtis  of  the  above  firm  has  ad- 
dressed Mr.  T.  Butler  King,  Collector  of  the  Port,  upon  the  subject,  to  which  he  has  replied, 

1 1 am  authorized  to  receive  those  bars  and  ingots  at  the  Custom  House.’ 

We  can  further  state  that  the  most  eminent  lawyers  in  the  United  States,  and  also  men 
in  the  most  eminent  positions,  have  given  it  as  their  unqualified  opinion  after  due  deliberation 
and  investigation  of  the  question,  that  these  ingots  and  bars  will  be  a legal  tender ; that  they 
are  coins  of  the  United  States  Government  as  is  the  dollar  and  the  eagle,  being,  like  them, 
issued  by  Act  of  Congress,  and  bearing  the  stamp  of  the  Government. 

While  the  ingots  of  the  Assay  Office  were  freely  received  at  the  Custom 
House,  this  by  no  means  established  the  fact  that  they  were  the  same  as 
United  States  coins,  as  contended  by  the  above-mentioned  editorial,  as  was 
indeed  proved  later,  much  to  the  confusion  of  business  in  San  Francisco. 
Even  at  the  time  of  their  acceptance  their  equality  with  United  States  coins 
was  vigorously  questioned  by  prominent  officials  of  the  United  States. 

In  the  Message  of  President  Fillmore,  delivered  to  Congress  on  Dec.  2, 
1850,  months  after  the  passage  by  Congress  of  the  Act  authorizing  the  estab- 
lishment of  the  United  States  Assay  Office,  the  following  recommendation 
occurred : 

There  being  no  Mint  in  California,  I am  informed  that  the  laborers  in  the  mines  are  com- 
pelled to  dispose  of  their  gold-dust  at  a large  discount.  This  appears  to  me  to  be  a heavy  and 
unjust  tax  upon  the  labor  of  those  employed  in  extracting  this  precious  metal,  and  I doubt  not 
you  will  be  disposed  to  at  the  earliest  moment  possible,  relieve  them  from  it  by  the  establish- 
ment of  a Mint.  In  the  meantime,  as  an  Assayer’s  office  is  established  there,  I would  respect- 
fully submit  for  your  consideration  the  propriety  of  authorizing  gold  bullion,  which  has  been 
assayed  and  stamped,  to  be  received  in  payment  of  Government  dues 


22 


PRIVATE  GOLD  COINAGE. 


When  Director  of  the  Mint  George  N.  Eckert  was  referred  to  for  his 
opinion  as  to  the  status  of  the  fifty-dollar  piece,  the  question  having  been 
raised  whether  the  United  States  was  obliged  to  receive  the  coins  stamped  by 
Augustus  Humbert  as  United  States  Assayer  in  California,  owing  to  one  of 
the  Federal  officers  having  refused  to  take  certain  of  this  series,  the  Director, 
in  a letter  dated  April  23,  1851,  stated  that  the  issues  of  Moffat  & Co.  and 
others  in  California  were  utterly  unrecognized,  and  that  the  United  States 
was  under  no  obligation  to  receive  them.  He  said  that  there  was  a Govern- 
ment Assayer  in  California,  Augustus  Humbert,  who  is  authorized  to  stamp 
the  fineness  and  value  of  the  bars  and  ingots  for  owners  of  bullion,  but  that 
this  fact  did  not  make  them  legal  tender. 

In  July,  1851,  Mr.  Bayly,  in  Congress,  offered  a substitute  for  the  bill 
which  provided  that  the  coins  issued  by  the  Assay  Office  in  San  Francisco  be 
made  a legal  tender,  and  that  the  institution  be  enlarged  and  improved.  This 
was  adopted  by  the  committee  and  brought  before  the  House  in  the  matter  of 
the  establishment  of  a Branch  Mint  at  San  Francisco.  The  substitute  was 
rejected.  The  first  bill  to  establish  the  Assay  Office  provided  that  it  be  oper- 
ated to  tax  the  miners  only  the  actual  cost  of  determining  the  value  of  his 
gold  — “ Daily  Alta,”  July  23,  1851. 

Upon  the  establishment  of  the  United  States  Assay  Office  a more  accu- 
rate estimate  of  the  value  of  the  gold-dust  was  provided,  and  it  gradually  in- 
creased in  price  until  it  ranged  as  high  as  $18.  Many  dealers  did  an  exclusive 
business  in  the  handling  of  gold-dust  at  this  period.  Useful  as  was  the  estab- 
lishment, however,  it  did  not  meet  with  the  full  favor  of  the  Californians,  who 
thought,  and  were  well  justified  in  so  thinking,  that  they  were  entitled  to  a 
Branch  Mint,  and  that  the  Assay  Office  served  to  delay  the  creation  of  such  a 
Mint. 

The  immediate  result  of  the  opening  for  business  of  the  United  States 
Assay  Office  was  the  beginning  of  the  disappearance  of  the  many  varieties  of 
gold  coins  bearing  private  stamps  which  had  been  so  generally  circulated 
throughout  California.  The  discredited  Mormon  coins  and  other  issues  such 
as  those  of  the  Pacific  Company,  all  of  which  were  of  a value  much  lower  than 
that  stamped  upon  their  face,  soon  found  their  way  to  the  Assay  Office,  were 
remelted,  and  reappeared  in  the  form  of  fifty-dollar  pieces. 

In  April,  1851,  a number  of  gold  pieces  of  different  denominations,  issued 
by  the  private  minting  firms,  were  sent  to  the  establishment  for  assay,  and  the 
result  showed  that  none  of  them  was  worth  its  face  value.  Discredit  was  at 
once  thrown  upon  all  such  coins,  bankers  refused  to  take  any  but  Moffat’s 
coin  on  deposit,  and  steps  were  taken  by  the  business  men  of  San  Francisco 
to  stop  the  circulation  of  the  private  issues  altogether,  which  had  the  effect 


MOFFAT  & CO.,  SAN  FRANCISCO. 


23 


of  at  once  putting  a stop  to  the  further  striking  of  coins  by  the  private  mints. 
The  coins,  thoroughly  in  disrepute,  followed  the  Mormon  and  Pacific  Com- 
pany pieces  to  the  Assay  Office,  and  soon  there  were  no  gold  coins  in  circu- 
lation except  the  unwieldy  fifty-dollar  pieces. 

The  withdrawal  of  the  -private  coins,  which  were  of  the  convenient  de- 
nominations of  $5,  $10  and  $20,  soon  brought  about  a serious  condition  of 
affairs.  Regular  United  States  coins  were  hoarded  for  the  payment  of  cus- 
toms duties,  for  which  purpose  the  California  coins  were  not  accepted,  and 
therefore  the  former  pieces  had  been  used  almost  exclusively  for  that  purpose, 
while  the  California  coins  had  answered  local  needs. 

Fifty-dollar  pieces  in  a short  time  were  the  only  gold  coins  in  circulation, 
and  their  size  and  denomination  caused  the  greatest  inconvenience.  Two  or 
three  per  cent,  was  charged  for  changing  one  of  them  into  coins  of  smaller 
denomination,  and  consequently  Moffat  & Co.’s  establishment  came  in  for 
a great  deal  of  criticism.  The  press  throughout  the  State  complained  bitterly 
of  the  effect  the  Assay  Office  had  on  the  currency,  and  once  more  the  matter 
of  the  establishment  of  a Branch  Mint  was  agitated. 

The  need  for  coins  of  a smaller  denomination  than  fifty  dollars  was  early 
recognized  by  the  United  States  Assay  contractors,  who  in  their  report  of 
April  14,  1851,  to  the  Secretary  of  the  Treasury,  asked  for  authority  to  supply 
such  pieces  : 

San  Francisco,  April  14,  1851. 

Hon.  Thomas  Corwin, 

Secretary  of  the  United  States  Treasury. 

Dear  Sir:  In  compliance  with  your  instructions,  we  herewith  send  our  report  for  the 
month  of  March.  It  will  appear  from  it  and  our  previous  report  that  the  business  of  the  United 
States  Assay  Office  had  from  its  commencement  steadily  increased.  From  present  appearances 
its  amount  for  the  current  month  will  greatly  exceed  that  of  the  last.  The  objects  of  the  assay 
law  now  seem  to  be  in  a fair  way  of  accomplishment.  The  effect  of  its  operation  upon  the 
gold-dust  market  and  upon  the  monetary  affairs  of  this  country  has  already  been  great  indeed. 
It  has  within  the  last  fortnight  produced  almost  an  entire  revolution  in  our  financial  transac- 
tions, of  which  a brief  history  may  not  be  uninteresting. 

We  have  heretofore  informed  you  that  the  Assay  Office  encountered  the  opposition  of 
bankers.  Their  hostility  arose  from  the  belief  that  its  successful  operation  would  conflict  with 
their  interests,  first,  by  advancing  the  price  of  gold-dust ; secondly,  by  compelling  them  to  increase 
the  rates  of  exchange,  and,  thirdly,  by  destroying  certain  private  mints  to  which  they  were  sell- 
ing large  quantities  of  gold-dust  at  a profit.  In  our  last  we  informed  you  that  the  first  two 
results  had  already  happened.  Since  then  the  third  has  been  accomplished.  Those  private 
mints  (four  in  number)  encouraged,  if  not  established  by  bankers,  had  for  some  time  been 
flooding  the  country  with  their  coins.  All  this  coin  was  manufactured  from  the  gold  of  the 
country  without  any  process  of  refining;  and  although  of  full  United  States  standard  weight, 
yet  under  mint  value  because  the  average  fineness  of  California  gold  is  much  below  the  mint 
standard.  Careful  assays  of  the  coin  had  been  made  by  the  United  States  Assayer,  and  the  fact 


24 


PRIVATE  GOLD  COINAGE. 


demonstrated  that  it  was  on  the  average  some  3 per  cent,  below  its  purported  value.  A correspond- 
ence between  the  United  States  Assayer  and  one  of  our  bankers,  showing  the  result,  was  pub- 
lished. The  effect  was  instantaneous  and  overwhelming ; the  private  mints  were  at  once 
compelled  to  suspend  operations,  and  their  issues  amounting,  we  have  reason  to  believe,  to  a 
million  and  a half,  have  since  been  purchased  at  a discount  of  from  5 to  10  per  cent.,  and  it  is 
not  at  all  likely  that  another  private  coin  will  ever  be  struck  in  California.  In  the  meantime 
the  issues  of  the  Assay  Office  were  popular  with  the  merchants  and  the  people  generally.  They 
had  the  impress  of  authority,  bore  the  United  States  stamp,  were  considered  to  all  intents  and 
purposes  a United  States  coin,  and  bankers  began  to  find  that  to  discredit  it  was  beyond  their 
power.  They  have,  therefore,  made  a virtue  of  necessity,  and  from  enemies  have  become  its 
friends.  They  not  only  now  receive  it  and  pay  it  out  as  they  do  other  coins  of  the  United 
States,  but  they  have  become  the  largest  depositors  of  dust  at  the  Assay  Office.  It  will  be  seen 
from  the  report  that  all  the  issues  of  the  Assay  Office  have  been  of  the  denomination  of  $J0  ; such 
too  has  been  the  case  in  the  present  time.  This  is  owing  to  the  absence  of  a sufficient  supply 
of  legal  currency ; they  are  not  shipped  but  go  into  circulation  here,  and  the  chief  complaint 
against  the  office  has  been  that  it  has  not  been  authorized  to  make  its  issues  of  still  less  denom- 
tions.  The  necessity  for  such  authority  is  augmented  by  the  sudden  withdrawal  from  circula- 
tion of  so  large  an  amount  of  private  coin.  We  are  awaiting  with  much  anxiety  such  instructions 
as  will  enable  us  to  supply  this  desideratum. 

Ingots  of  large  denomination  will  be  in  demand  only  when  they  shall  be  required  for 
shipment ; that  they  will  soon  be  so  required  we  have  every  reason  to  believe.  The  advance 
in  the  price  of  gold-dust  and  the  gradual  increase  in  the  rate  of  exchange  convince  us  that  the 
day  of  profit  on  shipment  of  dust  is  nearly  passed,  and  that  ere  long  the  miner,  the  producer, 
will  obtain  the  full  value  of  his  gold,  while  the  merchant  will  have  to  rely  for  his  profit  on  his 
goods,  and  the  banker  on  his  exchange,  and  not  upon  remittances  of  gold-dust. 

Very  respectfully,  your  obedient  servants, 

Moffat  & Co. 

P.  S.  Lest  it  might  be  inferred  with  the  private  coins  spoken  of,  that  of  Moffat  & Co.  is 
included,  we  deem  it  proper  to  say  that  we  discontinued  its  issue  before  commencing  operations 
under  the  Government  contract;  that  it  still  has,  as  it  has  ever  had,  the  confidence  of  the  public 
and  continues  to  circulate  at  par  quite  as  freely  as  coin  of  the  United  States. 

M.  & Co. 

For  some  unknown  reason  the  Treasury  Department  did  not  approve  of 
the  issue  of  pieces  of  smaller  denomination  than  fifty  dollars  by  the  Assay 
Office.  And  in  reply  to  the  communication  of  Moffat  & Co.  of  April  14,  this 
letter  was  received  by  them  from  Acting  Secretary  Hodge : 

Treasury  Department,  July  9th,  1851. 

Gentlemen:  In  reference  to  the  suggestion  made  in  your  letter  of  the  14th  of  April, 
giving  the  results  of  the  assaying  and  stamping  of  gold  ingots  during  the  month  of  March,  that 
authority  should  be  given  to  assay  and  stamp  ingots  of  denominations  and  values  under  fifty 
dollars,  I have  to  state  that  it  is  not  deemed  expedient  at  this  time  to  authorize  the  assay  and 
stamping  of  ingots  of  less  denomination  or  value  than  fifty  dollars. 

Very  respectfully,  your  ob’t  servant, 

Messrs.  Moffat  & Co.,  Wm.  L.  Hodge, 

San  Francisco,  California.  Acting  Secretary  of  the  Treasury. 


MOFFAT  & CO.,  SAN  FRANCISCO. 


25 


The  scarcity  of  gold  coins  of  small  denominations  and  the  predominance 
of  the  fifty-dollar  ingots  caused  so  much  annoyance  that  one  newspaper  re- 
ferred to  the  octagonal  pieces  as  little  less  troublesome  than  the  plagues  of 
Egypt,  and  the  following  extract  from  “Daily  Alta  California”  of  July  25, 
1851,  shows  why  Moffat  & Co.  were  so  anxious  to  get  authority  to  issue 
smaller  denominations  and  the  estimation  in  which  the  Assay  Office  was  be- 
ginning to  be  held : 

More  large  fish  are  to  be  produced  and  sent  forth  through  our  channels  of  trade  to  put 
the  small  fry  to  flight  in  all  directions.  The  machinery  at  the  slug  mill  of  Moffat  & Co.  has  at 
last  been  repaired,  and  re-commenced  operations  yesterday.  The  monstrous  fifty-dollar  chunks 
are  becoming  a decided  nuisance,  unless  privately  taken  in  large  quantities.  It  is  fast  becom- 
ing one  of  the  greatest  favors  you  can  ask  of  a storekeeper  to  accommodate  you  by  changing 
one  of  them,  such  is  their  sluggishness  in  the  market.  We  hear,  in  fact,  of  various  instances 
where  various  individuals  have  purchased  a pair  of  gloves  or  some  other  small  article  for  which 
they  have  no  earthly  use,  merely  for  the  purpose  of  getting  one  of  these  pieces  changed.  No 
longer  ago  than  on  the  occasion  of  the  departure  of  the  last  steamer  one  of  them  was  changed 
at  our  counter  for  a person  who  was  excessively  anxious  to  make  a cash  purchase  of  a steamer 
paper.  Price  of  paper  $0.25. 

In  the  August  monthly  report  of  Moffat  & Co.  to  the  Treasury  Depart- 
ment the  Assay  Contractors  again  asked  for  permission  to  strike  smaller 
denominations,  and  once  more  such  authority  was  withheld,  as  the  following 
letter  shows  : 


Treasury  Department,  Aug.  26,  1851. 

Gentlemen:  Your  letter  of  the  14th  ult.  covering  returns  of  assays  of  gold  is  received. 

In  regard  to  the  authority  requested  in  your  letter  of  the  14th  of  April,  and  now  renewed, 
for  permission  of  the  United  States  Assayer  to  stamp  ingots  of  the  denomination  of  twenty 
dollars  and  ten  dollars,  I have  to  refer  you  to  the  letter  of  the  Department  declining  the  propo- 
sition dated  the  9th  ultimo,  a duplicate  of  which  was  transmitted  to  you  yesterday. 

Very  respectfully,  your  obed’t  servant, 

Messrs.  Moffat  & Co.,  Wm.  L.  Hodge, 

San  Francisco,  California.  Acting  Secretary  of  the  Treasury. 

The  scarcity  of  small  gold  coins  was  so  sharply  felt  that  one  of  San  Fran- 
cisco’s leading  newspapers,  the  “Picayune,”  of  Oct.  21,  1851,  devoted  an 
editorial  to  the  question,  which  so  well  illustrated  the  currency  conditions  of 
the  time  that  it  is  herewith  reproduced  in  its  entirety : 

The  scarcity  of  gold  and  silver  coin  not  only  in  our  city  but  throughout  the  State  has 
for  some  time  been  a growing  evil,  and  such  a one  as  not  only  embarrasses  our  heavy  moneyed 
men  but  annoys  all  classes  and  confuses  business  of  every  kind.  Since  the  suspension  of  small 
gold  coinage  by  Moffat  & Co.  this  scarcity  has  been  pressing  more  and  more  upon  the  com- 
munity, as  the  great  proportion  of  our  current  gold  coin  of  the  55  and  5io  denominations  came 
from  their  mint.  This  currency,  together  with  that  afforded  by  Mexican  and  the  various  South 


26 


PRIVATE  GOLD  COINAGE. 


American  doubloons,  has  been  of  almost  inestimable  value  in  the  conducting  of  business.  Im- 
mense quantities  of  these  coins  have  been  melted  up  into  ingots  or  shipped  to  foreign  countries, 
which  has  resulted  in  a complete  derangement  of  the  currency  of  this  State  and  the  substitu- 
tion of  another  circulating  medium  which,  as  it  has  happened,  is  not  one  at  all  adapted  to  the 
ordinary  wants  of  the  community. 

Until  within  a few  months  it  was  not  generally  supposed  that  the  issue  of  ingots  by  the  United 
States  Assay  Office  would  have  the  effect  of  driving  the  smaller  kinds  of  gold  coins  from  cir- 
culation, except  perhaps  the  fraudulent  and  uncurrcnt  issues  of  some  of  the  private  mints;  and 
this  last  was  a result  which  was  contemplated  by  all  with  none  other  than  feelings  of  satisfac. 
tion.  Of  Moffat’s  coin  there  was  already  in  circulation  an  amount  supposed  to  be  ample  for 
years,  as  none  of  it  would  find  its  way  out  of  the  State.  But  a great  share  of  it  has  gone  into 
the  Assay  Office  and  has  reappeared  in  the  shape  of  fifty-dollar  ingots.  Many  of  the  doubloons 
have  taken  a similar  course,  though  most  of  them  have  been  shipped  away,  the  increased  price 
of  gold-dust  having  destroyed  in  a great  measure  the  opportunity  for  their  profitable  invest- 
ment here. 

The  amount  of  American  gold  in  circulation  has  always  been  very  limited  ; for  a consid- 
erable time  past  its  exportation  has  exceeded  its  influx,  owing  to  the  demand  by  our  increasing 
emigration  and  the  stringent  condition  of  the  Eastern  money  market.  If  the  present  rate  of 
drainage  be  continued  it  will  very  soon  exhaust  our  supply  of  National  gold  currency. 

Of  silver  coin  also  the  supply  is  too  small  to  meet  the  wants  of  the  community.  This,  to 
be  sure,  partially  arises  from  the  fact  that  the  gold  is  being  absorbed  or  shipped  away,  as  we 
have  just  stated.  But  even  though  there  were  the  same  amount  of  silver  coin  in  the  State  now 
that  there  was  a year  since,  it  would  not  be  found  sufficient  to  supply  the  vacuum  in  the  con- 
venient currency  created  by  the  withdrawal  of  the  smaller  gold  coin.  The  great  bulk  of  our 
silver  currency  has  been  composed  of  Mexican  and  Peruvian  silver  dollars,  with  a considerable 
sprinkling  of  five-franc  pieces.  For  smaller  trade  we  have  had  a most  varied  assortment  of 
fractional  silver,  comprising  representations  of  the  currency  of  well  nigh  every  nation  in  the 
world.  Mexican  dollars  have  always  stood  first  in  favor,  because  of  their  well  known  purity  of 
standard,  their  convenience  for  all,  and  their  necessity  for  some  of  our  Pacific  trade.  Therefore 
we  find  that  this  coin  has  for  a long  time  commanded  2 per  cent,  premium  for  the  China  and 
East  India  trade.  The  supply  at  the  same  time  has  continued  to  diminish.  Like  the  doubloon, 
they  can  now  be  more  profitably  invested  elsewhere.  Instead  of  being  shipped  here  for  the 
purchase  of  gold-dust  they  are  sent  direct  to  the  Atlantic  States  and  Europe,  where  there  exists 
a pressing  demand,  and  they  at  present  command  high  rates  of  premium. 

This  monthly  inconvenience,  now  in  fact  almost  amounting  to  a currency  crisis,  will  not 
probably  continue  much  longer.  Only  the  prospect  of  speedy  relief,  and  the  fact  of  the  recent 
increase  in  the  value  of  gold-dust  has  hindered  the  re-commencement  of  private  coinage,  not- 
withstanding the  existence  of  the  statute  prohibiting  the  same,  and  the  knowledge  of  the  evils 
certain  in  the  end  to  result  from  it. 

But  we  entertain  no  doubt  that  relief  of  a satisfactory  and  durable  nature  will  soon  be 
afforded.  Several  months  since,  we  believe,  a request  was  forwarded  to  the  Treasury  Depart- 
ment by  the  United  States  Assay  Office  in  this  city  asking  for  authority  to  issue  gold  coins  of 
all  the  Federal  denominations.  It  is  probable  that  such  power  will  be  granted  him,  and  that 
so  far  as  gold  currency  is  concerned  a full  supply  of  the  desired  denominations  will  be  intro- 
duced. With  another  year  we  anticipate  seeing  a regularly  organized  United  States  Mint  in 
operation  here,  receiving  our  twin  staples,  gold  and  silver,  and  issuing  coin  sufficient  not  only 
to  supply  our  own  State,  but  to  rule  the  currency  and  trade  of  the  Pacific. 


MOFFAT  & CO.,  SAN  FRANCISCO. 


27 


This  almost  unbearable  condition  of  currency  affairs  seems  to  have  con- 
tinued up  to  the  latter  part  of  the  year.  The  fifty-dollar  pieces  were  about 
the  only  circulating  medium,  and  they  were  of  such  unsuitable  denomination 
that  they  were  of  little  use  for  small  business  transactions.  The  discount  to 
which  they  were  subjected,  when  changed,  often  equaled  4 per  cent.,  making 
a $50  ingot  worth  just  $48,  which  certainly  was  not  much  of  an  improvement 
on  a majority  of  the  private  gold  pieces  which  they  had  replaced,  and  which 
had  caused  so  much  unfavorable  comment.  Complaints  against  the  Assay 
Office  continued  as  late  as  December,  as  the  following  extract  from  “ San 
Francisco  Herald”  of  Dec.  8,  1851,  shows: 

Private  coins  have  come  into  disrepute,  and  been  subjected  to  a discount,  but  even  a loss 
on  that  was  a mere  trifle  compared  with  what  communities  at  the  East  often  sustain  when  a 
bank  suspends  payment.  Then  their  paper  is  often  worthless,  and  the  holder  loses  all.  Here 
at  most  his  “ Baldwins”  will  pass  at  6 or  7 per  cent,  discount.  But  there  is  no  reason  why  the 
people  of  California  should  ever  lose  anything  through  the  agency  of  their  currency.  It  is  the 
plainest  and  most  imperative  duty  of  the  Government  to  furnish  us  with  a mint,  whose  stamp 
will  always  be  security  against  loss.  We  want  no  more  half-way  expedients  for  tricking  up  a 
currency.  The  Assay  Office  has  failed  to  effect  the  good  its  projectors  promised,  and  is  inun- 
dating the  country  with  a coin  so  inconvenient  that  the  holder  has  often  to  submit  to  2 or  4 per 
cent,  discount  to  get  it  changed. 

From  the  letters  that  have  been  obtained  it  would  seem  that  Moffat  & 
Co.,  in  their  monthly  reports  to  the  Treasury  Department  had  each  time  drawn 
attention  to  the  necessity  of  being  allowed  to  strike  ingots  of  small  denomi- 
nation, and  at  last  these  requests  bore  fruit,  as  authority  to  make  ingots  of 
the  value  of  ten  and  twenty  dollars  was  finally  given  Dec.  9,  1851,  which  is 
mentioned  in  the  following  letter  to  Joseph  R.  Curtis,  one  of  the  members  of 
the  firm  of  Moffat  & Co. : 

Treasury  Department, 

Joseph  R.  Curtis,  Esq.,  New  York.  December  9th,  1851. 

Sir  : In  reply  to  your  letter  of  the  6th  instant  suggesting  the  expediency  of  authorizing 
the  United  States  Assayer  in  California  to  affix  the  United  States  stamp  to  ingots  or  bars  of 
gold  of  denominations  and  values  under  fifty  dollars,  I have  to  inform  you  that  the  Department 
has  under  this  date  authorized  Mr.  Augustus  Humbert,  the  United  States  Assayer  in  Califor- 
nia, to  stamp  ingots  or  bars  of  gold  of  the  denomination  and  value  of  twenty  and  ten  dollars 
respectively,  and  has  so  informed  Messrs.  Moffat  & Co.  of  San  Francisco,  the  contractors  of 
the  Treasury  Department. 

Very  respectfully, 

Wm.  L.  Hodge, 

Acting  Secretary  of  the  Treasury. 

From  the  following  letter,  however,  to  Moffat  & Co.,  dated  Dec.  10,  1851, 
it  is  shown  that  no  sooner  had  the  long-desired  authority  to  make  the  small 
ingots  been  given  to  Moffat  & Co.  than  it  was  immediately  revoked : 


28 


PRIVATE  GOLD  COINAGE. 


Messrs.  Moffat  & Co.,  Treasury  Department, 

San  Francisco,  California.  Dec.  10th,  1851. 

Gentlemen:  As  a bill  has  been  introduced  into  Congress  in  connection  with  a Mint  and 
Assay  Office  at  San  Francisco,  you  will,  until  further  instructed  on  the  subject,  suspend  any 
action  under  the  authority  in  the  letter  of  the  Department  of  the  9th  inst.  relative  to  the  stamp- 
ing of  ingots  of  twenty  and  ten  dollars. 

Very  respectfully,  your  ob’t  servant, 

Wm.  L.  Hodge, 

Acting  Secretary  of  the  Treasury. 

The  following  letter  from  Augustus  Humbert,  United  States  Assayer,  to 
Secretary  Corwin  was  written  before  the  authority  to  strike  ten  and  twenty 
dollars  had  reached  Moffat  & Co.  In  it  he  refers  to  the  likelihood  of  another 
private  issue  of  coin  to  supply  pressing  local  needs  : 

United  States  Assay  Office, 

Hon.  Thos.  Corwin,  San  Francisco,  Cal.,  Dec.  31,  1851. 

Secretary  of  the  Treasury , Washington,  D.  C. 

Sir:  Accompanying  this  Messrs.  Moffat  & Co.  send  you  the  monthly  report  of  the  trans- 
actions of  this  office,  showing  a sad  falling  off  in  its  business,  not  to  say  its  usefulness;  it  is  an 
incontestible  fact  that  the  great  scarcity  of  small  coin  (say,  5s,  10s,  and  20s)  has  its  influence, 
for  in  the  greater  portion  of  the  transactions  of  the  country  the  $50  ingots  are  too  large,  even 
the  bankers  have  to  restrict  their  depositors  to  checking  for  round  amounts,  or  submit  to  a seri- 
ous loss,  as  they  are  obliged  to  pay  from  ij  to  2 p.  c.  premium  on  the  small  coin  necessary  for 
their  daily  transactions,  thus  showing  the  urgent  necessity  existing  for  the  issue  of  ingots  of 
smaller  denomination  than  50s  from  this  office. 

Several  of  our  most  influential  merchants  and  bankers  as  a matter  of  absolute  necessity, 
not  choice,  have  been  urging  somebody  to  make  small  coin  with  a private  stamp,  and  I under- 
stand the  dies  are  already  in  the  hands  of  the  engraver ; whether  or  no  these  dies  will  be  used 
will  probably  depend  on  the  decision  you  may  have  taken  with  regard  to  the  application  pre- 
sented to  you  by  Mr.  J.  R.  Curtis,  etc.  I sincerely  hope  it  will  be  favorable  and  soon  at  hand, 
as  I am  well  satisfied  that  if  private  coin  again  resumes  the  place  it  once  had  among  us,  the 
door  will  be  open  for  greater  frauds  than  was  before  perpetrated. 

I remain,  very  respectfully,  your  obedient  servant, 

A.  Humuert, 

U.  S.  Assayer. 

Moffat  & Co.  had  been  petitioned  by  prominent  men  of  San  Francisco 
to  strike  a quantity  of  private  coin  to  meet  urgent  needs,  but  had  hesitated,  in 
the  hope  that  the  Treasury  Department  would  eventually  see  the  expe- 
diency of  allowing  the  Assay  Office  to  issue  small  denominations.  On  Jan. 
15,  1852,  when  the  letters  authorizing  the  making  of  ingots  below  the  denom- 
ination of  $50,  and  the  one  suspending  such  authority,  reached  Moffat  & Co., 
they  at  once  communicated  with  the  Treasury  Department  as  follows,  and 


MOFFAT  & CO.,  SAN  FRANCISCO. 


29 


then  yielded  to  the  request  of  local  business  men  that  they  issue  $300,000 
worth  of  their  private  coin  to  relieve  the  local  currency  situation,  and  a new 
ten-dollar  piece  soon  made  its  appearance  bearing  the  stamp  “ moffat  & co.” 
That  this  was  issued  none  too  soon  is  proved  by  the  fact  that  at  this  time 
the  amount  of  gold  and  silver  small  coin  in  San  Francisco  did  not  exceed 
$200,000  : 

We  have  heretofore  represented  to  the  Department  that  in  consequence  of  the  great 
scarcity  of  small  gold  coin  in  this  State  the  issues  of  the  Assay  Office  are  at  a discount  of  2 to  3 
per  cent. ; that  the  office  has  incurred  the  odium  of  the  people  on  account  of  the  great  incon- 
venience and  actual  loss  they  were  subjected  to  by  the  depreciation  of  its  issues  ; that  its  issues 
were  consequently  daily  diminishing  in  amount;  that  private  coinage  would  be  again  resorted  to 
and  coin  with  a private  stamp  be  at  a par,  whilst  that  stamped  by  authority  of  the  U.  S.  Gov- 
ernment would  be  at  a discount  and  the  object  of  the  Assay  Office  defeated,  unless  authority 
should  be  speedily  granted  to  issue  ingots  of  smaller  denomination  than  that  of  fifty  dollars. 

To  these  representations  we  have  now  to  add  that  the  state  of  things  above  described  has 
been  continually  growing  worse  ; that  a private  coinage  establishment  (that  of  Wass,  Molitor  & 
Co.),  without  reputation  or  responsibility,  commenced  operations  early  last  week ; that  its  issues 
are  at  a premium  of  2 to  3 per  cent,  over  those  of  this  office;  that  the  business  of  this  office 
has  nearly  ceased,  not  having  been  for  the  last  thirty  days  sufficient  to  pay  its  current  expenses, 
a humiliating  and  lamentable  position  for  a Government  establishment. 

For  months  past  we  have  been  solicited  by  bankers,  merchants,  and  others  to  issue  a 
limited  amount  of  “ Moffat  & Co.”  coin.  Expecting,  however,  by  each  successive  arrival  of 
the  mail  to  receive  the  desired  authority  from  the  Department,  we  declined  their  appeals.  At 
last,  however,  the  exigencies  became  so  great  we  could  not  resist  the  impression  that  duty  to 
the  Assay  Office,  to  the  community,  and  to  ourselves  required  our  assent. 

The  accompanying  correspondence  and  written  opinion  of  J.  H.  Clay  Mudd,  Esq.,  con- 
tain our  reasons  and  justification  for  the  step. 

We  have  not  yet  commenced  the  issue,  but  shall  do  so  in  a few  days,  and  will  of  course 
discontinue  it  should  the  instructions  of  the  Department  of  the  9th  December  ult.  (and  coun- 
termanded by  those  of  the  following  day)  be  confirmed. 

It  was  with  great  reluctance  that  we  assented  to  the  issue  of  private  coin,  notwithstand- 
ing the  very  cogent  reasons  by  which  we  were  influenced  ; if  any  additional  and  conclusive 
argument  were  wanting,  wre  found  it  in  the  above  communication  from  the  department. 

We  have  the  honor  to  be,  your  obedient  servants, 

Moffat  & Co. 

The  petition  to  Moffat  & Co.  to  strike  $300,000  worth  of  their  private 
coin  is  given  below.  The  names  of  the  petitioners  show  them  to  have  been 
the  most  influential  business  men  of  San  Francisco,  and  include  those  of 
nearly  every  one  of  the  banking  firms. 


San  Francisco,  Jan.,  1852. 

Messrs.  Moffat  & Co.  — Gentlemen  : The  great  inconvenience  attending  all  monetary 
operations,  in  consequence  of  the  scarcity  of  gold  coin,  induces  the  undersigned  to  request  that 


3° 


PRIVATE  GOLD  COINAGE. 


you  will  issue  some  $300,000  additional  of  the  coin  of  Moffat  & Co.,  which  will  be  sufficient,  in 
our  judgment,  to  relieve  the  business  community  of  its  present  embarrassment. 

The  application  of  the  United  States  Assayer,  Mr.  Humbert,  to  the  Secretary  of  the 
Treasury  for  authority  to  issue  ingots  of  lesser  denomination  than  $50,  whatever  its  final  suc- 
cess, may  not  be  granted  for  thirty  or  sixty  days  to  come.  The  necessity  for  an  increased 
amount  of  small  gold  coin  in  the  meantime  becomes  daily  more  pressing,  and  this  necessity 
must  and  will  encourage  a resort  to  private  coinage.  Any  increase  of  private  coin,  especially 
of  the  coin  of  individuals  who  have  not  established  a reputation  for  correctness  and  integrity 
is  much  to  be  deprecated,  and  were  it  not  that  public  convenience  urgently  demands  it,  we 
would  not  make  this  appeal  to  you  for  a new  issue  of  your  coin.  Inasmuch,  however,  as  pri- 
vate coin  must  inevitably  have  an  increased  circulation,  we  consider  it  not  less  important  than 
desirable  that  it  should  bear  a stamp  in  which  the  public  have  confidence.  The  coins  of 
Moffat  & Co.  have  attained  and  now  hold  that  confidence,  and  are  therefore  preferable  to  any 
new  coin  which  may  be  put  in  circulation. 

This  will  of  course  be  a temporary  measure,  the  necessity  for  which  will  cease  upon  the 
receipt  by  the  United  States  Assay  Office  of  the  requisite  power  to  issue  ingots  of  $5,  $10,  and 
$20  denomination.  But  temporary  as  it  may  and  will  be,  the  issue  of  the  coin  of  ‘ Moffat  & 
Co.’  to  the  extent  we  propose  will  confer  a great  public  benefit,  and  we  feel  no  doubt  that  the 
whole  community  will  sustain,  as  we  certainly  shall  sustain,  the  effort  to  furnish  a safe  and  more 
convenient  currency.  Indeed,  we  cannot  comprehend  what  objection  can  be  made  in  any 
quarter,  here  or  elsewhere,  to  a measure  of  relief  which  has  its  origin  in  and  is  founded  upon 
an  overruling  necessity.  The  Federal  Government,  although  earnestly  petitioned,  has  not  pro- 
vided the  remedy  for  the  inconvenience  and  embarrassments  consequent  upon  the  scarcity  of 
small  gold  coin,  under  which  this  community  has  been  and  is  now  suffering.  The  State  Gov- 
ernment has  no  power  to  coin  money,  nor  to  make  laws  and  regulations  as  to  its  coinage,  and 
consequently  there  is  no  other  mode  by  which  the  present  exigency  can  be  met,  more  practica- 
ble than  or  so  satisfying  as  that  which  we  have  indicated. 


Geo.  Aiken. 

0.  J.  Gericke. 

J.  W.  Raymond. 

Dickson,  De  Wolf  & Co. 

Wm.  Buckler,  Jr. 

Beverly  C.  Sanders. 

A.  Bresholm. 

J.  H.  Trowbridge. 

F.  Marriott  & Co. 

D.  T.  Ailleed. 

Turnbull  & Walton. 

Henry  Selby. 

Hostler,  Barnes  & Co. 

Larco  & Co. 

Merrill  & Co. 

Drexel,  Lather  & Church. 

J.  B.  Bidleman. 

Engels,  Hooper  & Co. 

Handy,  Sterling  & Co. 

J.  J.  Chauviteau. 

A.  B.  Southworth. 

E.  Delessert,  Lyeron  & Co. 

Godeffroy,  Sillem  & Co. 

Douglas  & Snyder. 

Hussey,  Bond  & Hale. 

Jacks  & Woodruff. 

Whitcomb  & Peake. 

Macondray  & Co. 

Burgoyne  & Co. 

Dore  & Ross. 

Slade,  Lambert  & Co. 

Page,  Bacon  & Co. 

Wm.  T.  Coleman  & Co. 

Alsop  & Co.  (per  M.  Godley). 

Jas.  King  of  Wm.  & Co. 

L.  Dellville. 

Rollins  & Co. 

B.  Davidson. 

Scudder,  Carroll  & Co. 

Taaffe,  McCahill  & Co. 

Grisar  & Co. 

Wm.  H.  Jore  & Co. 

Tobin  & Duncan. 

G.  Argenti  & Co. 

C.  Laganterie  & Co. 

Jno.  G.  F.  Pope. 

Robinson  & Co. 

Kelly,  Jansen  & Co. 

Geo.  Gordon  & Steen. 

Rising,  Caselli  & Co. 

Woodworth  & Morris. 

Qucreau  & Johnson. 

Smith  Brothers  & Co. 

L.  A.  Gerry. 

Hubbard  & Snyder. 

Backus  & Harrison. 

William  L.  Hobson. 

Gibbs  & Co. 

Danl.  L.  Ross. 

C.  B.  Loomis. 

Geo.  Clifford  & Co. 

MOFFAT  & CO.,  SAN  FRANCISCO. 


3i 


In  response  to  this  petition  Moffat  & Co.  made  the  following  reply  : 

San  Francisco,  Jan.  7,  1852. 

Gentlemen:  We  have  your  letter  of  the  5th  inst.,  in  which  you  request  that  we  issue 
some  $300,000  additional  of  the  coin  of  “ Moffat  & Co.,”  which  you  seem  to  think  will  be  suf- 
ficient to  relieve  the  business  community  of  the  great  inconvenience  consequent  upon  the 
scarcity  of  small  gold  coin.  We  have  no  desire,  gentlemen,  to  issue  any  more  private  coin,  and 
have  been  exceedingly  anxious  for  the  redemption  of  that  bearing  our  stamp  now  in  circulation. 
Acting  upon  this  principle,  and  anticipating  that  the  United  States  Assay  Office,  in  response  to 
the  petition  some  six  months  ago  of  a number  of  the  most  influential  citizens  of  San  Francisco 
would  receive  timely  instructions  to  provide  for  the  present  exigency,  we  have  hitherto  declined 
the  many  and  earnest  appeals  of  the  like  character  with  yours,  which  have  recently  been  made 
to  us.  The  instructions  to  which  we  refer,  and  which  we  have  every  confidence  will  be  finally 
given,  have  not  yet  been  received.  Under  these  circumstances,  with  a full  knowledge  of  the 
necessity  for  an  increased  supply  of  small  gold  coin,  and  with  this  appeal  to  us  from  the  prin- 
cipal bankers  and  merchants  of  this  city,  we  feel  that  we  are  in  some  measure  bound  to  aid  in 
furnishing  a more  convenient  currency. 

There  is  nothing  in  the  law  establishing  the  United  States  Assay  Office,  nor  is  there  any- 
thing in  our  contract  with  or  bond  to  the  Secretary  of  the  Treasury,  which  precludes  or  pro- 
hibits this  issue  of  the  coin  of  “ Moffat  & Co.”  Still  we  should  not  consent  to  it  except  in 
obedience,  as  you  have  remarked,  gentlemen,  to  “an  overruling  necessity.”  In  now  consenting 
to  it  we  are  influenced  solely  by  the  desire  to  relieve  this  necessity,  to  silence  the  present  dis- 
contents, and  to  sustain  the  institution  with  which  we  are  connected  as  contractors  with  the 
Government.  And  we  trust  that  this  issue  of  our  coin  will  have  the  effect  to  prevent  the  fur- 
ther hoarding  of  and  brokerage  in  small  coin,  and  thereby  place  the  $50  ingots  of  the  United 
States  Assay  Office  and  other  coins  upon  the  same  equality  in  all  business  transactions. 

The  coin  of  “ Moffat  & Co.”  will  be  issued  of  course  upon  our  own  responsibility,  inde- 
pendently with  our  connection  with  the  United  States  Assay  Office,  and  will  be  redeemed  here 
in  the  issues  of  that  institution,  and  in  New  York,  as  our  coin  now  is,  and  always  has  been,  by 
our  agent,  Messrs.  Beebe  and  Co.,  in  the  regular  coin  of  the  Mint.  We  propose  to  issue  the 
first  of  this  coin  on  Monday  next,  by  which  time  we  believe  all  our  arrangements  will  be  com- 
pleted. 

With  our  sincere  thanks  to  you,  gentlemen,  for  the  confidence  which  you  are  pleased  to 
repose  in  us  and  in  the  coin  which  bears  our  stamp,  we  are,  with  high  respect, 

Your  obedient  servants, 

Moffat  & Co.1 

The  contemplated  new  issue  of  private  coins  by  Moffat  & Co.  elicited  the 
following  editorial  comment  on  the  part  of  one  of  San  Francisco’s  leading 
newspapers : 

A petition  has  been  drawn  up  and  left  for  signature  at  the  Commercial  Exchange,  asking 
Messrs.  Moffat  & Co.  to  issue  $300,000  in  private  coinage  of  the  denomination  of  $5,  $10,  and 
$20.  A little  in  advance  of  this  suggestion  Messrs.  Wass,  Molitor  & Co.,  assayers,  have  com- 
menced the  issue  of  five-dollar  gold  pieces,  a description  of  which  will  be  found  in  another 
column.  It  is  said,  and  we  have  no  reason  to  doubt  it,  that  the  petition  addressed  to  Moffat 

1 Both  petition  and  response  are  taken  from  “ Daily  Alta,”  Jan.  11,  1852. 


32 


PRIVATE  GOLD  COINAGE. 


& Co.  is  signed  by  our  largest  banking  houses  and  our  leading  merchants,  and  it  is  asserted 
that  it  will  be  generally  acceptable  to  the  trading  public. 

The  reason  which  is  assigned  for  these  measures  promoting  the  introduction  of  private 
gold,  is  the  scarcity  of  legal  coinage  of  the  smaller  denominations.  The  reason  is  a true  one, 
for  the  difficulty  of  obtaining  small  coin  has  been  a subject  of  general  complaint  for  two  months 
past.  But  is  this  the  true  way  to  remedy  the  evil  ? 

The  General  Government  has  assumed  by  general  consent  the  power  to  coin  money,  and 
consequently  to  regulate  the  standard  of  value  of  everything  which  is  bought  and  sold.  The 
citizens  living  under  the  Government  assent  to  this  proceeding  because  experience  has  taught 
mankind,  that  in  order  to  transact  the  business  of  life  and  advance  their  temporal  interests,  it  is 
necessary  that  the  standard  should  be  so  fixed  and  established  as  to  be  beyond  the  danger  of 
fluctuation  from  the  caprice  or  dishonesty  of  men.  Money  (or  the  precious  metals)  when 
coined  by  a Government  has  a certain  fixed  value,  which  is  as  a general  principle  not  liable  to 
variation  by  the  ordinary  laws  of  demand  and  supply.  No  other  products  among  commercial 
nations  have  a standard  value  — the  price  of  all  other  productions  is  regulated  by  the  standard 
and  dependent  upon  the  demand  and  supply  of  each.  The  object  to  be  gained  by  this  arti- 
ficial commercial  arrangement  is  a determined  standard  of  value  which  shall  not  be  liable  to 
change,  and  thus  prevent  the  consequent  losses  and  depreciation  which  would  infallibly  result 
from  time  to  time  from  a change  or  variation  in  the  standard.  Experience  has  proved  beyond 
the  slightest  doubt  that  there  is  no  way  to  produce  this  result  but  through  the  agency  of  a 
monopoly  Government  coinage,  and  such  is  the  system  of  the  commercial  nations  of  the  day. 

The  proposition  therefore  to  put  in  circulation  in  this  State  a large  amount  of  private  coin 
is  one  of  great  importance,  and  cannot  but  excite  the  solicitude  of  the  whole  community,  and 
particularly  that  portion  of  it  which  constitutes  its  commercial  class.  Admitting  as  beyond 
controversy  the  necessity  which  exists  in  the  ordinary  channels  of  trade  for  coin  of  a small 
denomination,  it  does  not  follow  that  the  correct  way  to  cure  the  ill  is  through  the  issue  of  pri- 
vate coin.  That  process  might,  and  probably  will,  temporarily  relieve  the  pressure,  but  an 
intimation  of  its  ultimate  consequences  must  certainly  result  in  the  conviction  that  such  a meas- 
ure is  not  only  an  unwise  one,  but  that  it  will  produce  an  injury  to  the  body  politic.  This 
private  coin,  if  it  have  value,  can  only  maintain  it  in  the  absence  of  a legal  currency,  and  when 
that  currency  shall  become  commensurate  to  the  wants  of  trade  the  private  coin  is  at  once  dis- 
paraged and  falls  below  the  standard.  The  consequence  is  a loss  to  the  community  at  large 
corresponding  in  amount  to  the  total  circulation.  Now  if  this  system  of  private  coinage  be  car- 
ried on  for  a year  to  come  without  any  mishaps,  and  then  a United  States  Branch  Mint  should 
commence  issuing  coins,  the  private  coin  would  at  once  deteriorate  in  value  and  the  public 
would  be  obliged  to  submit  to  a discount  upon  it  or  retain  it  in  their  possession.  If  a million 
of  dollars  had  been  in  circulation  it  is  easy  to  compute  the  loss  which  would  follow  upon  a 
depreciation  of  one,  two,  three,  four,  or  five  per  centum.  True,  this  coin  might  be  in  reality  of 
the  value  expressed  upon  its  face,  and  yet  it  would  infallibly  be  displaced  by  the  legal  standard 
currency  at  a large  loss,  sufficient  at  least  to  cover  the  cost  of  transportation  to  and  from  the 
mint  and  the  expense  of  coinage. 

But  the  most  weighty  objection  to  this  scheme  is  its  irresponsible  character.  There  is  no 
pledge,  no  guaranty  that  the  money  so  issued  will  be  redeemed  in  current  coin.  You  are 
obliged  to  take  the  coin  upon  trust,  entirely  without  remedy.  Whatever  it  may  be  intrinsically 
worth,  that  you  have ; but  you  can  hope  to  recover  nothing  by  redemption.  This  opens  the 
door  to  extensive  and  protracted  fraud.  There  is  no  check  to  prevent  it,  and  when  once  the 
coin  is  put  into  circulation  the  community  is  at  the  mercy  of  the  coiner.  It  does  not  need  argu- 


MOFFAT  & CO.,  SAN  FRANCISCO. 


33 


ment  to  prove  this  position,  for  the  experience  which  our  citizens  have  already  had  in  the 
“ Baldwin  ” and  other  issues  attest,  the  fact  most  undubitably. 

There  may  not  be  the  slightest  objection  to  the  coin  which  is  intended  to  be  put  into  cir- 
culation by  the  firm  we  have  named  at  the  beginning  of  this  article.  The  community  know 
them,  and  probably  estimate  them  properly.  But  the  great  difficulty  in  these  cases  is  to  close 
the  door  when  once  it  is  opened.  This  scheme,  which  in  its  inception  is  all  proper,  and  per- 
haps beneficial,  soon  attracts  the  attention  of  the  speculative.  The  impression  cannot  be  dis- 
pelled that  money  is  to  be  made  by  issuing  private  coin,  for  no  one  believes  that  patriotism  has 
reached  so  sublimated  a point  in  this  country  that  the  public  good  will  be  promoted  by  individ- 
uals at  private  expense.  Then  follows  a perfect  shower  of  private  coin  — some  good,  some 
bad  — the  channels  of  trade  are  choked  with  it,  and  holders  of  it  will  come  to  their  senses  after 
a while  on  learning  that  it  is  5,  10,  15,  or  20  per  cent,  below  par.  And  this  will  not  be  the 
result  with  regard  to  the  bad  coins  only,  for  such  occurrences  will  always  involve  the  good  with 
the  bad. 

A few  weeks  since  we  believed  it  our  duty  to  condemn  a scheme  for  foisting  upon  the 
community  an  irresponsible  and  valueless  paper  currency.  The  same  general  principles  which 
militated  against  that  kind  of  money  operate  against  this.  It  must  be  admitted,  though,  that 
in  that  case  there  was  no  quid  pro  quo.  The  paper  would  have  been  utterly  valueless  in  the 
event  of  any  collapse  in  the  arrangements,  whilst  in  the  matter  of  private  coin  there  would  be 
usually  enough  of  real  value  to  make  a show  of  genuineness.  The  advantage,  however,  in  favor 
of  the  coin  is  only  in  measure,  not  in  principle. 

The  conviction  therefore  forces  itself  upon  us  that  in  view  of  the  dangerous  tendency  of 
these  schemes  it  is  the  part  of  wisdom  to  discountenance  them.  Unless  all  the  teachings  of 
experience  be  valueless,  the  temporary  good  which  will  be  derived  from  the  system  is  largely 
overbalanced  by  the  permanent  evil  which  we  think  likely  to  follow.  Those  who  are  engaged 
in  trade,  therefore,  and  who  are  largely  and  directly  interested  in  this  matter  of  currency,  should 
look  well  to  the  consequences  before  they  give  the  sanction  of  their  influential  names  to  a plan 
so  fraught  w'ith  danger.  It  is  for  the  commercial  community  to  say  how  far  such  proceedings 
are  commended  by  their  experience,  and  how  great  the  risk  they  can  consent  to  run. 

P.  S. — Since  the  above  was  written  we  have  been  furnished  with  a copy  of  the  petition  to 
Moffat  & Co.,  and  their  reply  to  it.  They  state  that  they  will  accede  to  the  demand  made  upon 
them  by  the  petitioners;  that  they  can  do  so  without  conflicting  with  their  contracts  with  the 
Government,  and  that  they  have  the  dies  with  which  to  commence  the  work  at  once.  We  are 
sorry  that  the  petition  and  letter  are  crowded  out  this  morning. 

It  is  not  certain  just  upon  what  day  the  first  of  the  new  ten-dollar  pieces 
bearing  the  name  of  “ Moffat  & Co.”  appeared,  but  it  must  have  been  around 
the  14th  of  the  month.  “Prices  Current”  of  Jan.  14,  1852,  states  “Messrs. 
Moffat  & Co.,  and  Wass,  Molitor  & Co.,  have  again  commenced  to  issue  small 
coins;"  the  “ Picayune”  of  San  Francisco  of  Jan.  23  says  that  the  new  ten- 
dollar  piece  of  Moffat  & Co.  had  made  its  appearance  the  day  before,  and  at 
the  same  time  stated  that  Moffat  & Co.  did  not  intend  at  present  to  issue  any 
coin  smaller  than  $10.  “ The  eagle  which  graces  the  reverse  is  from  the  same 

nest  as  the  one  on  the  ingots  — a younger  child  of  the  same  family.  In  a 
semi-circle  you  read,  “ 264  grs.  California  gold.  880  thous.  ten  d.” 


34 


PRIVATE  GOLD  COINAGE. 


The  permission  to  strike  coins  of  the  denomination  of  $10  and  $ 20  was 
received  at  the  United  States  Assay  Office  early  in  February,  and  on  Feb.  12, 
1852,  “ Daily  Alta  California”  stated: 

By  reference  to  a card  published  in  another  column  it  will  be  seen  that  Messrs.  Moffat 
& Co.  have  received  instructions  from  the  Treasury  Department  authorizing  them  to  issue 
from  the  United  States  Assay  Office  ingots  of  the  denomination  of  £10  and  520.  This  will 
be  a great  convenience  to  the  business  community,  and  will  relieve  us  of  the  many  difficulties 
caused  by  the  large  coins.  Messrs.  Moffat  & Co.  with  their  well-known  promptness  will  com- 
mence the  issue  of  the  ingots  to-day,  and  will  cease  issuing  coin  bearing  the  stamp  of  Moffat 
& Co. 

The  following  is  the  card  referred  to  above : 

A Card.  — Moffat  & Co  take  great  pleasure  in  announcing  to  the  public 
that  they  have  received  by  the  mail  of  yesterday  instructions  from  the  Treas- 
ury Department  authorizing  the  issue  from  the  United  States  Assay  Office 
of  ingots  of  the  denomination  of  ten  and  twenty  dollars,  and  that  they  are 
prepared  to  issue  the  same  this  day. 

The  tens  will  have  a fineness  of  884  thousandths,  and  will  weigh  262^ 
grains.  The  twenties  will  be  of  the  same  fineness,  and  will  weigh  525^ 
grains. 

No  more  coin  will  be  manufactured  bearing  the  stamp  of  “ Moffat  & Co.,” 
and  that  already  issued  will  be  redeemed  whenever  demanded. 

Moffat  & Co. 

Notice.  — Moffat  & Co.  will  hereafter,  independently  of  their  contract 
with  the  United  States  Government,  receive  Gold-dust  for  melting  and  assay- 
ing, and  return  the  same  in  bullion,  at  a charge  of  1 per  cent,  on  its  value. 

The  bars  will  at  all  times  be  ready  for  delivery  within  48  hours. 

A description  of  the  new  ten  dollar  piece  of  the  Assay  Office  was  con- 
tained in  the  “ Prices  Current”  of  San  P'rancisco  of  Feb.  16,  1852,  as  follows: 

The  United  States  Assayer  now  has  the  authority  from  the  Government  to  issue  ingots  or 
coin  of  the  denomination  of  ten  and  twenty  dollars.  The  obverse  of  these  pieces  is  in  design 
what  is  termed  “ engine  turned,”  with  a band  across  the  centre  bearing  this  inscription  : 

AUGUSTUS  HUMBERT 
UNITED  STATES  ASSAYER 
OF  GOLD  CALIFORNIA 

1852 

The  reverse  has  an  eagle  similar  to  the  fifty-dollar  piece;  over  it  a scroll  indicative  of  the  fine- 
ness of  the  coin  in  thousandths  — “884  Thous.”  — Under  the  eagle  “ Ten  Dols.”  with  the 
legend  “United  States  of  America.”  This  is  far  preferable  to  the  system  of  private  coinage, 
although  certainly  not  so  desirable  as  a regular  mint  issue. 


MOFFAT  & CO.,  SAN  FRANCISCO. 


35 


The  twenty-dollar  piece  of  the  Assay  Office  would  seem  to  have  first 
been  issued  on  Feb.  28,  according  to  the  following  extract  taken  from  the 
“ Prices  Current  ” of  Feb.  28,  1852  : 

The  United  States  Assay  Office  commenced  this  morning  issuing  the  twenty-dollar  pieces. 
In  our  last  we  neglected  to  give  the  fineness  and  weight  of  these,  and  also  the  $10  piece,  which 
is  as  follows:  “ The  fineness  of  both  pieces  is  884  thousandths,  the  weight  of  the  twenty  525.4 ; 
of  the  tens,  262.7  grains.” 

On  Feb.  16,  1852,  the  firm  of  Moffat  & Co.  was  dissolved,  the  business 
being  continued  by  the  other  three  members  of  the  firm,  and  notice  of  the 
dissolution  was  published  in  the  “ San  Francisco  Herald,”  as  follows: 

United  States  Assay  Office, 

San  Francisco,  Cal.,  Feb.  16,  1852. 

YVe  beg  leave  to  inform  you  that  the  partnership  of  Moffat  & Co.  has  been  dissolved  by 
mutual  consent.  The  undersigned  have  formed  a new  co-partnership,  under  the  name  of 
Curtis,  Perry  & Ward,  by  whom  the  business  of  the  old  firm  will  be  conducted,  and  to  whom 
the  “ Contract  for  Smelting  and  Assaying  Gold  in  California,”  authorized  by  Act  of  Congress, 
has  been  continued  by  the  Treasury  Department.  The  following  denominations  of  coin  are 
now  authorized  to  be  issued  by  the  Treasury  Department  from  the  Assay  Office  : Ten  Dollars, 
Twenty  Dollars,  and  Fifty  Dollars  ; also  bars  of  Five  Hundred  Dollars  and  One  Thousand 
Dollars 

The  “ Daily  Alta  California  ” of  Feb.  16,  1852,  contained  the  following  : 

United  States  Assay  Office.  — A Card.  — Curtis,  Perry  & Ward 
beg  leave  to  inform  the  public  that  the  “ Contract  for  Smelting  and  Assay- 
ing Gold  in  California,  authorized  by  Act  of  Congress,”  held  by  the  late  firm 
of  Moffat  & Co.,  has  been  transferred  and  continued  to  them  by  the  Treas- 
ury Department. 

After  the  reorganization  of  the  firm  of  Moffat  & Co.  in  February,  1852, 
very  little  mention  of  the  operations  of  the  Assay  Office  can  be  found  in  the 
San  Francisco  newspapers  until  early  in  October,  with  the  exception  of  an 
editorial,  which  is  given  here  in  full : 

A great  deal  of  discussion  has  occurred  in  the  public  prints  of  late  upon  the  Assay  Office 
now  in  operation  in  this  city.  It  has  been  made  as  much  as  possible  a party  contest,  but  one 
of  the  Whig  papers  has  almost  robbed  it  of  that  character  by  a fierce  onslaught  upon  the  office, 
condemning  it  in  more  serious  terms  than  even  its  Democratic  opposers.  The  consideration  of 
the  subject  has  been  watched  with  great  interest  because  the  matter  is  really  one  of  moment  to 
a greater  number  of  the  citizens  of  California  than  any  other  single  question  of  public  policy 
that  is  now  before  them.  But  here,  as  is  not  uncommon,  the  subject  has  been  argued  not  with 
a view  to  demonstrate  the  value  of  the  establishment  to  the  public,  but  more  with  a desire  to 
fix  the  responsibility  of  its  creation  upon  the  one  or  the  other  political  party. 


36 


PRIVATE  GOLD  COINAGE. 


The  Assay  Office,  as  at  present  organized,  was  created  by  a law  of  the  first  session  of  the 
31st  Congress.  It  was  adopted  as  a temporary  provision  which  it  was  hoped  would  meet  the 
public  wants  and  partially  supply  the  place  of  a mint,  and  it  was  not  brought  forward  until  all 
reasonable  men  saw  that  there  was  no  hope  of  passing  the  New  York  and  California  Mint  bill 
at  that  session.  It  was  supported  by  the  whole  California  delegation — or,  rather,  it  was 
assented  to  by  them,  because  they  were  inclined  to  believe  that  whilst  it  would  work  no  posi- 
tive injury,  it  might  be  made  an  instrument  of  great  good.  It  should  be  recollected  that  the 
action  of  the  State  Legislature  in  establishing  such  an  office  had  great  weight  in  producing  this 
conviction  upon  the  mind  of  Congress,  and  the  general  tone  of  the  California  press  seemed  to 
favor  such  an  idea. 

The  advantage  which  was  expected  to  be  realized  from  the  law  was  the  enhancing  of  the 
price  of  gold-dust.  A perusal  of  the  debates  in  Congress  will  show  this  conclusively.  It  was 
assented  to  upon  what  was  deemed  good  authority  that  the  creation  of  a State  Assay  Office  had 
produced  very  beneficial  effects  in  California  in  that  regard,  and  as  it  was  known  that  the  low 
price  of  gold-dust  was  a serious  evil  and  a great  wrong,  the  conviction  was  a natural  one  that 
a measure  which  promised  temporary  alleviation  was  better  than  continued  suffering  under  the 
ills  complained  of.  No  party  considerations  entered  into  the  matter.  It  was  voted  for  and 
supported  by  both  Whigs  and  Democrats,  although  there  was  every  reason  to  believe  that  the 
office  and  its  emoluments  would  be  thrown  into  Whig  hands  by  the  administration. 

It  was  foreseen  that  the  establishment  of  the  Assay  Office  might  open  the  way  to  build- 
ing up  a vast  monopoly,  which  would  enrich  a few  individuals  at  the  public  expense ; but  it 
was  believed  that  at  the  next  session  a mint  would  certainly  be  given  to  California,  and  it  was 
also  presumed  that  her  intelligent  citizens  and  independent  press  would  confine  within  proper 
bounds  the  acquisitiveness  of  those  who  would  be  selected  to  administer  the  law.  Therefore, 
although  it  was  palpable  that  individuals  expected  to  make  money  through  the  law,  it  was 
thought  that  the  public  advantage  which  would  be  wrought  was  a sufficient  ground  for  the 
course  pursued. 

But  have  these  anticipations  been  realized  ? Has  the  Assay  Office  been  of  the  advan- 
tage expected  ? The  weight  of  testimony  must  lead  to  a negative  reply.  That  it  has  been  of 
some  service  is  undeniable  ; but  in  the  main  it  has  failed  to  fulfill  the  expectations  of  its  friends. 
Not  totally  failed,  perhaps,  but  so  far  failed  as  to  lead  it  to  be  regarded  with  suspicion  instead 
of  hope. 

It  is  charged  — with  how  much  truth  we  cannot  pretend  to  say — that  the  persons  having 
the  Assay  Office  under  their  control  are  garnering  a rich  reward  from  their  business.  And  it 
is  asserted  that  the  real  effect  of  the  law  has  been  to  create  a monopoly,  which  is  wringing  its 
thousands  daily  from  the  “ hard  earnings  ” of  the  industrious  miners.  Without  inquiring  into 
these  charges  particularly,  it  is  probably  true  that  “ much  moneys  ” are  made  from  the  business 
— much  more  than  can  be  said  to  have  an  offset  in  the  public  good  conferred. 

Another  point  at  issue  in  relation  to  the  Assay  Office  is  the  propriety  of  receiving  its  coin 
as  a legal  tender.  It  really  seems  a little  strange  that  any  question  should  be  entertained  upon 
this  subject,  especially  after  the  recommendation  of  President  Fillmore  that  a law  should  be 
passed  to  make  legal  currency  of  such  coins  as  the  Assay  Office  might  issue.  And  more  par- 
ticularly does  it  seem  inexplicable  when  it  is  reflected  that  Mr.  Bayly  of  Virginia  actually  intro- 
duced a substitute  for  the  California  Mint  bill  which  had  for  its  avowed  object  to  make  the 
United  States  Assayer’s  ingots  a legal  tender.  It  is  urged  that  the  understanding  when  the 
law  was  passed  was  to  the  effect  that  the  ingots  would  be  a legal  tender.  Such  was  undoubt- 
edly the  belief  of  every  man  who  voted  for  the  law  ; but  the  watchful  Whig  sentinels  of  the 


MOFFAT  & CO.,  SAN  FRANCISCO. 


37 


Treasury  early  discovered  that  the  law  was  imperfect,  and  their  representations  no  doubt  pro- 
duced the  President’s  recommendation.  Without,  therefore,  discussing  the  acts  of  any  receivers 
of  public  money,  it  is  palpable  that  the  coins  of  the  Assay  Office  are  not  legal  tender. 

The  great  objection  to  the  Assay  Office,  however,  is  to  be  found  in  the  fact  that  it  jeopards 
the  establishment  of  a mint.  The  course  Mr.  Bayly  pursued  in  the  last  Congress  had  this 
tendency,  and  in  fact  exerted  a very  serious  influence  against  the  mint  if  it  did  not  in  reality 
defeat  it.  Still,  it  would  not  be  fair  to  presume  that  the  proprietors  of  the  Assay  Office  desire 
to  defeat  a mint  for  California,  although  the  course  of  their  friends  in  Congress  had  that  effect 
more  or  less.  But  it  should  not  be  forgotten  that  California  must  have  a mint.  There  should 
be  no  more  delay ; no  more  hesitation  ; no  more  uncertainty.  The  Congress  of  the  United 
States  should  be  made  to  know  and  feel  this,  and  they  must  give  us  our  due.  If  the  Assay 
Office  be  a monopoly,  this  is  the  true  way  to  destroy  it.  If  it  have  failed  to  promote  the  public 
welfare,  the  mint  alone  will  cure  the  evil  and  answer  the  wants  of  this  community.  In  this 
view,  therefore,  all  should  understand  that  the  Assay  Office  has  proved  itself  an  enemy  to  the 
mint,  and  the  danger  is  that  it  may  yet  be  used  to  retard,  if  not  defeat,  the  construction  of 
that  Government  establishment  in  California. 

Early  in  the  Fall  of  1852  the  ingots  of  the  Assay  Office  were  refused  at 
the  Custom  House,  and  much  embarrassment  to  business  ensued.  At  this 
time  the  issues  of  the  Assay  Office  represented  the  greater  proportion  of 
California’s  circulating  medium,  and  their  chief  use  had  been  in  payment  of 
customs  duties.  The  following  letter  from  the  Treasury  Department  to  the 
Collector,  published  in  the  “San  Francisco  Herald  ” of  Oct.  9,  1852,  gave 
the  first  intimation  of  the  repudiation  of  these  ingots  : 

Treasury  Department,  Sept.  4,  1852. 

Sir  : The  authority  previously  given  you  by  the  Department  to  receive  the  gold  coins  of 
the  United  States  Assay  Office  at  San  Francisco  in  payment  of  dues  to  the  Government  is 
hereby  revoked,  as  Congress  in  the  second  section  of  the  Civil  and  Diplomatic  bill,  approved 
Aug.  31,  1852,  has  prohibited  them  from  being  received  in  any  payments  to  the  United  States. 

As  the  issues  of  that  office  were  made  under  the  authority  of  Congress,  the  Department 
had  considered  that  they  were  virtually  coin  of  the  United  States,  in  which  opinion  it  was  sus- 
tained by  very  high  legal  authority,  and  therefore  had  authorized  it  to  be  received  in  payment 
for  duties  at  the  Custom  Houses  on  the  Pacific,  knowing  at  the  same  time  that  it  would  remove 
a great  obstacle  to  commercial  operations  in  California  by  affording  a circulating  medium  in 
coin  of  full  standard  value  with  that  of  the  regular  coinage,  in  absence  ot  a sufficient  supply  of 
the  latter  not  only  for  the  commercial  operations,  but  even  for  the  ordinary  transactions  of 
private  life.  Under  the  provisions  of  the  above  Act  you  are  therefore  requested  and  instructed 
in  future  to  receive  in  payment  for  dues  to  the  United  States  only  the  issues  of  the  United  States 
Mint  and  its  branches,  and  the  following  foreign  coin  at  their  respective  values,  as  noted  below, 
agreeably  to  existing  laws,  authorizing  the  receiving  of  such  foreign  coins  for  public  dues,  viz.: 
The  silver  dollar  of  Mexico,  Peru,  Chile,  and  Central  America  at  100  cents,  in  accordance  with 
the  conditions  prescribed  in  the  Act  of  25th  June,  1834.  and  the  gold  coins  of  Great  Britain, 
France,  Spain,  Portugal,  Brazil,  Mexico,  and  Colombia,  agreeably  to  the  conditions  of  the  Act 
of  28th  June,  1834. 

The  Department  will  take  the  most  prompt  measures  for  purchasing,  leasing,  or  erecting 
a Mint  at  San  Francisco,  agreeably  to  authority  invested  in  it  for  that  purpose  by  Congress, 


3» 


PRIVATE  GOLD  COINAGE. 


and  so  soon  as  the  needful  plans  and  specifications  which  are  now  preparing  can  be  completed, 
proposals  will  be  invited  by  advertisement  in  California  and  on  the  Atlantic  for  sixty  days, 
agreeably  to  the  directions  of  Congress,  and  the  establishment  will  be  commenced  and  will  be 
put  into  operation  n the  least  possible  time  after  proposals  can  be  obtained  and  a contract 
completed,  as  the  Department  is  anxious  to  remove  as  soon  as  possible  any  inconvenience 
which  the  commercial  community  may  experience  in  consequence  of  the  issues  of  the  Assay 
Office  being  no  longer  legally  receivable.  In  the  meantime  the  Department  will  ascertain  if 
any  temporary  arrangement  can  be  effected  of  furnishing  a circulating  medium  in  California  of 
the  standard  fineness  agreeably  to  the  above  Act  of  Congress,  which  may  at  least  to  some 
degree  lessen  the  inconvenience  arising  from  the  present  scarcity  in  California  of  the  actual 
mint  coinage. 

William  L.  Hodge, 

To  T.  Butler  King,  Esq.,  Assistant  Secretary  of  the  Treasury. 

Collector , San  Francisco. 

A meeting  of  merchants  took  place  in  the  Merchants’  Exchange  in  San 
Francisco  on  October  9,  to  take  action  upon  the  order  of  the  Treasury  Depart- 
ment. Among  others  present  was  Collector  King.  The  “ San  Francisco 
Herald  ” of  Oct.  10,  1852,  printed  the  following  account  of  the  proceedings  : 

THE  RECENT  TREASURY  ORDER. 

MEETING  OF  THE  MERCHANTS.  — REMEDY  PROPOSED.  — SPEECHES,  ETC.,  ETC. 

In  pursuance  of  a call  published  in  the  morning  papers,  a large  number  of  our  most 
respectable  and  influential  merchants  assembled  at  12  o’clock  yesterday  in  the  Merchants’ 
Exchange,  to  consider  what  course  they  should  pursue  in  view  of  the  recent  order  of  the  Sec- 
retary of  the  Treasury,  prohibiting  the  Collector  of  this  Port  from  receiving  the  issues  of  the 
Assay  Office  in  payment  of  duties. 

Beverly  C.  Sanders,  Esq.,  was  called  to  the  chair  ; and  on  taking  his  seat,  he  briefly 
explained  the  object  for  which  the  meeting  was  called.  If  he  understood  it,  he  said,  it  was  to 
take  into  consideration  the  late  extraordinary  and  oppressive  action  of  Congress  in  instructing 
the  public  officers  in  California  to  refuse  to  receive  ingots  or  other  coins  issued  by  the  Assay 
Officers  of  the  United  States,  in  payment  of  public  dues.  This,  in  brief  words,  said  he,  I 
believe  to  be  the  object  of  this  meeting,  and  the  Chair  will  be  pleased  to  hear  any  suggestions 
that  may  be  made  on  the  subject  by  the  gentlemen. 

Mr.  Franklin,  of  the  firm  of  Selim  & E.  Franklin,  Auctioneers,  said  that  with  the  view  of 
bringing  out  other  suggestions,  it  occurred  to  him  that  the  merchants  who  had  duties  to  pay, 
might  continue  to  pay  them  in  ingots,  and  sign  bonds  to  make  good  in  United  States  currency 
within  a short  time,  to  be  specified  ; and  at  the  same  time  they  might  enter  into  bonds  to  Mr. 
King,  the  Collector,  to  indemnify  him  for  going  beyond  his  strict  instructions  in  the  matter. 

Ex-Governor  Smith  said  he  felt  induced  to  make  some  remarks  on  the  subject  before  the 
meeting,  although  he  was  not  interested  in  it  as  a merchant,  for  the  purpose  of  putting  the 
assemblage  in  possession  of  the  facts  of  the  case,  and  in  doing  so  he  would  speak  only  facts. 
I am  induced,  said  Mr.  Smith,  to  do  so  more  in  consequence  of  the  remarks  of  the  worthy 
Chairman  (Mr.  Sanders),  who  has  characterized  the  Act  of  Congress  prohibiting  the  receipt  of 
ingots  for  public  dues,  “ Extraordinary  and  oppressive.”  I think  myself,  that  the  Act  is  mis- 
apprehended ; and  for  the  purpose  of  putting  the  question  in  the  true  light,  I shall  occupy 
your  time  for  a few  moments,  not  more  than  ten  or  fifteen.  I will  first  read  the  letter  from  the 
Acting  Secretary  of  the  Treasury  to  Mr.  King,  the  Collector  of  this  Port.  It  is  as  follows  : 


MOFFAT  & CO.,  SAN  FRANCISCO. 


39 


The  authority  previously  given  by  the  Department  to  receive  the  gold  issues  of  the  United 
States  Assay  Office  at  San  Francisco,  in  payment  of  dues  to  the  Government,  is  hereby  revoked,  as 
Congress,  in  the  2d  section  of  the  Civil  and  Diplomatic  Bill,  approved  the  31st  of  August,  1852,  has 
prohibited  them  from  being  received  in  any  payment  to  the  United  States. 

As  the  issues  of  that  office  were  made  under  the  authority  of  Congress,  the  Department  had  con- 
sidered they  were  virtually  coin  of  the  United  States,  in  which  opinion  it  was  sustained  by  high  legal 
authority,  and,  therefore  had  authorized  it  to  be  received  in  payment  for  duties  at  the  Custom  Houses 
on  the  Pacific;  knowing  at  the  same  time,  that  it  would  remove  a great  obstacle  to  commercial  opera- 
tions in  California,  by  affording  a circulating  medium,  in  coin  of  full  standard  value  with  that  of  the 
regular  coinage,  in  absence  of  a sufficient  supply  of  the  latter,  not  only  for  commercial  operations  but 
even  for  the  ordinary  daily  transactions  of  private  life. 

I wish  the  assembly  to  bear  in  mind,  that  these  ingots  were  authorized  to  be  received, 
because  “ it  would  remove  a great  obstacle  to  commercial  operations  in  California,  by  affording 
a circulating  medium  of  full  standard  value  with  that  of  the  regular  coinage,  in  the  absence  of 
a sufficient  supply  of  the  latter,  not  only  for  the  commercial  operations,  but  even  for  the  ordi- 
nary transactions  of  private  life.”  Under  the  provisions  of  this  Act,  the  Secretary  says  to  the 
Collector  : “ You  are,  therefore,  requested  and  instructed  in  future  to  receive  in  payment  for 
dues  to  the  United  States,  only  the  issues  of  the  United  States  Mint  and  its  branches,  and  the 
following  foreign  coins,”  etc. 

This  assembly,  I repeat,  will  bear  in  mind  that  the  ingots  were  originally  authorized  to  be 
received  because  they  were  of  the  same  standard  value  as  the  coin  issued  from  the  Mint.  That 
is  the  ground  on  which  the  Secretary  puts  the  matter  here;  and  his  action  is  put  on  the  ground, 
expressly,  that  it  is  now'  prohibited  by  Act  of  Congress.  Now,  I respectfully  ask,  Is  there  any 
Act  of  Congress  prohibiting  the  receipt  of  ingots?  The  extract  from  the  law,  which  is  taken 
from  the  Appropriation  Bill,  reads  as  follows  : 

And  the  Secretary  of  the  Treasury  is  hereby  directed  to  contract  for  a term  of  not  more  than  one 
year,  and  upon  reasonable  terms,  not  exceeding  one  per  centum,  with  the  proprietors  of  one,  and  if 
practicable  with  those  of  more  than  one  assaying  establishment  in  California,  upon  satisfactory  security, 
to  be  judged  by  him,  who  shall  discharge  the  duties  prescribed,  and  in  the  manner  designated  by  the 
Act  making  appropriations  for  the  civil  and  diplomatic  expenses  of  Government  for  the  year  ending 
thirtieth  of  June,  Eighteen  hundred  and  fifty-one:  and  no  gold  or  silver,  other  than  coin  of  standard 
fineness  of  the  United  States,  or  foreign  coin,  in  the  manner  prescribed  by  existing  laws,  shall  be  re- 
ceivable in  payment  of  dues  to  the  United  States. 

You  will  observe  that  in  this  clause  there  are  two  points,  one  authorizing  the  Secretary 
of  the  Treasury  to  contract  with  one  or  more  assaying  offices  in  San  Francisco,  for  one  year, 
etc.  Now,  it  might  be  very  well  asked,  Why  should  Congress,  in  passing  this  law,  be  so  anxious 
to  multiply  the  assaying  capacities  of  San  Francisco,  if  the  slugs,  when  assayed,  are  to  be  of  no 
effect  and  of  useless  value  ? This  Act  of  Congress  demonstrates  an  anxiety  to  multiply  this 
description  of  currency,  which,  it  is  said,  it  refuses.  I advert  to  this,  for  the  purpose  of  show- 
ing that  it  is  a construction  not  borne  out  by  the  section  itself. 

The  second  point  is,  that  no  gold  or  silver,  except  it  be  of  the  standard  fineness,  shall 
be  received.  Now  the  Secretary  of  the  Treasury  received  them  on  the  ground  that  they 
were  of  the  standard  value,  so  that  he  has  pronounced  that  these  ingots  are  of  the  standard 
value  of  the  coin  of  the  United  States.  The  whole  subject,  therefore,  turns  on  this  point : Are 
these  ingots  coins  of  the  United  States  or  not  ? On  that  subject  I can  only  say  that  a circular 
or  rather  an  order,  was  issued  from  the  Treasury  Department,  authorizing  the  Collector  of  this 
Port  to  receive  them,  and  the  Secretary  of  the  Treasury  had  no  authority  to  issue  such  an  order 
unless  they  were  of  the  standard  value  of  the  coins  of  the  United  States. 


40 


PRIVATE  GOLD  COINAGE. 


That  order  is  in  the  possession  of  the  Collector,  and  it  will  be  seen  that  it  is  exactly  in 
conformity  with  this  view  of  the  subject.  Having  said  this  much,  let  me  add  a few  words. 
Let  us  refer  back  and  see  what  has  been  the  past  legislation  of  Congress  on  the  subject. 

The  Constitution  declares  that  nothing  shall  be  legal  tender  but  gold  and  silver.  Con- 
gress, to  be  sure,  may  receive  what  it  pleases,  but  it  cannot  discharge  its  debts  in  anything  but 
gold  or  silver.  By  the  first  Act  passed  on  the  subject,  entitled  “ An  Act  to  regulate  the  collec- 
tion of  duties  on  imports  and  tonnage,”  passed  in  1799,  it  is  provided  that  “ All  duties  and  fees 
to  be  collected  shall  be  payable  in  the  money  of  the  United  States,  or  in  foreign  gold  and 
silver  coins  at  the  following  rates,”  etc.,  going  on  to  describe  the  value  of  foreign  coins.  Mr.  Ham- 
ilton, who  was  then  Secretary  of  the  Treasury,  if  I recollect  right,  authorized  specie-paying 
bank  notes  to  be  received,  but  in  consequence  of  the  Government  having  lost  a great  deal  by 
bank  notes  a new  law  was  passed,  dated  30th  of  April,  1816,  seeking  to  correct  as  fast  as  possi- 
ble the  abuses  into  which  the  collection  system  had  fallen  in  this  regard.  It  will  be  found  there 
as  follows : 

That  the  Secretary  of  the  Treasury  be,  and  hereby  is,  required  and  directed  to  adopt  such  meas- 
ures as  he  may  deem  necessary,  to  cause  as  soon  as  may  be,  all  duties,  taxes,  and  debts,  or  sums  of 
money,  accruing  or  becoming  payable  to  the  United  States,  to  be  collected  and  paid  in  the  legal  tender 
of  the  United  States,  or  Treasury  Notes,  or  notes  of  the  Bank  of  the  United  States,  as  by  law  pro- 
vided and  declared,  or  notes  of  Banks  which  are  payable  and  paid  on  demand,  in  said  legal  currency  of 
the  United  States,  and  that  from  and  after  the  twentieth  day  of  February  next,  no  such  duties,  taxes, 
debts  or  sums  of  money,  accruing  or  becoming  payable  to  the  United  States  as  aforesaid,  ought  to  be 
collected  or  received  otherwise  than  in  the  legal  currency  of  the  United  States,  or  Treasury  Notes,  notes 
of  the  Bank  of  the  United  States,  or  in  notes  of  Banks  which  are  payable  and  paid  on  demand  in  the 
said  legal  currency  of  the  United  States. 

This  was  the  first  recognition  of  the  Treasury  order  of  Mr.  Hamilton.  It  was  the  first 
effort  to  recover  the  steps  that  had  been  lost.  By  the  third  section  of  the  Act  passed  March 
2d,  1833,  which  was  designed  for  the  purpose  of  allaying  the  agitation  in  South  Carolina,  and 
which  was  called  the  celebrated  Compromise  Act,  it  is  provided  as  follows : “ And  from  and 
after  the  day  last  aforesaid  — (to  wit,  30th  of  June,  1832)  — all  duties  upon  imports  shall  be 
collected  in  ready  money,  and  all  credits  now  allowed  by  law  in  payments  of  duties  shall  be  and 
hereby  are,  abolished.”  I read  this  for  the  purpose  of  letting  the  meeting  see  that  up  to  that 
time,  viz  : the  year  1833,  there  were  steady  collections  of  the  public  dues  in  cash,  gold  and  sil- 
ver. The  Act  of  1836,  known  as  the  celebrated  Sub-Treasury  Act,  which  was  so  much  abused 
at  the  time,  but  which  has  since  become  exceedingly  acceptable  to  the  country,  provides  by  the 
1 8th  section  as  follows: 

Be  it  further  enacted,  that  on  the  first  day  of  January  in  the  year  one  thousand  eight  hundred 
and  forty-seven  and  thereafter,  all  duties,  taxes,  sales  of  public  lands,  debts  and  sums  of  money,  accru- 
ing or  becoming  due  to  the  United  States,  and  also  all  sums  due  for  postage  or  otherwise  to  the  Gen- 
eral Post  Office  Department,  shall  be  paid  in  gold  and  silver  only,  or  in  Treasury  Notes  issued  under  the 
authority  of  the  United  States. 

Thus  stands  the  law  now.  It  is  corroborated  by  the  Act  making  appropriations  for  the 
year  1851,  which  Act  is  referred  to  in  the  Circular  addressed  to  Mr.  King,  as  follows:  — “ The 
Secretary  of  the  Treasury  is  hereby  directed  to  make  a contract,  &c.,  and  in  the  manner  desig- 
nated by  the  Act  making  appropriations  for  the  civil  and  diplomatic  expenses  of  Government  for  the 
year  ending  the  thirtieth  of  June,  Eighteen  hundred  ami  fifty-one."  Now  a law  was  passed  author- 
izing the  conversion  of  the  gold-dust  of  California  into  bars  or  ingots,  upon  which  the  value  was 
to  be  impressed  under  the  authority  of  a United  States  officer,  to  wit,  the  Assayer.  No  ingots 


MOFFAT  & CO.,  SAN  FRANCISCO. 


4i 


could  go  into  circulation  which  w;ere  not  fully  worth  what  they  represented.  That  was  the  law  that 
was  passed,  and  under  that  law  the  Secretary  of  the  Treasury,  taking  the  subject  into  considera- 
tion, issued  an  order  to  receive  these  ingots  for  the  public  dues,  and  the  system  has  prevailed 
to  the  present  time.  Now,  it  is  alleged  that  the  recent  Act  of  Congress  — the  clause  which  I 
have  read  to  you  — forbids  the  receipt  of  these  ingots  for  public  dues.  I have  read  to  you  the 
only  law  which  exists  on  the  subject,  and  I respectfully  submit  that  it  does  not  forbid  it. 

[Some  person  present  said  it  was  a ratification  of  it.] 

Ex-Governor  Smith  continued  — As  has  been  well  remarked,  it  is  a ratification  of  it,  So 
far  from  forbidding,  it  is  an  expressed  ratification  of  the  former  Act,  for  it  refers  to  it.  So  far 
from  forbidding  the  receipt  of  these  ingots,  the  Government  expresses  its  anxiety  to  have  ingots 
multiplied,  by  increasing  the  number  of  assaying  offices,  and  it  does  not  require  any  other 
mode  of  payment  than  that  which  existed  from  1799  to  the  present  hour.  The  whole  question, 
therefore  is,  — Are  these  ingots  coins  of  the  United  States  or  not?  They  are  issued  under 
authority  of  law.  I have  read  the  law.  They  are  made  to  assume  a particular  value.  That 
value  is  impressed  upon  them  under  the  authority  of  an  officer  of  the  United  States,  and  they 
are  put  in  circulation  for  the  purpose  of  being  received  for  the  public  dues.  When  you  con- 
nect this  view  of  the  subject  with  the  all-pervading  principle  that  no  statute  is  repealed  except 
by  direct  enactment  or  by  obvious  inconsistency,  you  see  that  this  Act  is  far  from  being  re- 
pealed : on  the  contrary,  the  Acts  referred  to  actually  affirm  it.  The  question  then  is  — Why 
should  the  Secretary  of  the  Treasury,  under  this  law,  which  did  not  come  from  the  President’s 
hands  until  the  31st  of  August  — why  should  he  have  been  in  such  rapid  haste  to  send  forth  a 
Circular  under  it  to  the  inconvenience  of  the  commercial  community  of  San  Francisco  ? Now, 
I am  one  of  those  who  love  a fair  thing ; but  I want  it  understood  distinctly  that  there  has 
been  no  change  in  the  law.  I stand  here  on  my  reputation,  and  on  my  capacity,  such  as  it  is, 
and  repeat,  there  has  been  no  change  in  the  law.  There  has  been  no  change  in  the  action  of 
the  Treasury  Department,  but  on  that  it  is  for  the  meeting  to  decide.  It  is  for  you  to  decide 
upon  that  question.  I address  you  only  that  you  may  understand  the  evil  properly.  Outside 
this  assembly,  however,  I shall  speak  my  thoughts  and  express  my  natural  feelings  and 
denounce  this  interference  with  the  commercial  interests  with  the  indignation  which  naturally 
swells  my  bosom.  (Applause.) 

There  were  calls  for  “ King,”  “ King,”  “ King,”  from  different  parts  of  the  room.  Mr. 
Sanders  to  Mr.  King  — “ Will  Mr.  King  please  address  the  meeting  and  explain  this  matter  ?” 

Collector  King  then  said : I beg  to  assure  you,  gentlemen,  that  I feel  as  much  embarrass- 
ment at  the  present  moment,  as  any  one  of  you  ; and  that  if  it  be  found  practicable,  I shall  be  as 
ready  as  you  could  desire,  to  adopt  such  a course  as  may  seem  best  suited  to  remove  our  pres- 
ent difficulties.  (Applause.)  I will  beg  leave,  in  justice  to  the  Secretary  of  the  Treasury  and 
without  intention  to  implicate  any  one,  to  speak  a few  brief  words  in  answer  to  my  friend  Gov- 
ernor Smith,  who  has  just  taken  his  seat.  He  has  read  to  you  the  various  Acts  of  Congress 
authorizing  the  issue  of  coins  of  the  United  States,  among  others  the  last  two.  Although  he 
thinks,  and  honestly  thinks,  I have  no  doubt,  that  there  is  no  difference  between  the  Act  of 
1850  and  the  recent  one  of  1852,  I think  I can  show  you  a material  difference,  and  there  lies 
the  difficulty.  The  Act  of  1850,  you  will  perceive,  authorizes  the  employment  of  assayers  and 
the  establishment  of  assay  offices  to  convert  gold  into  ingots,  on  which  shall  be  placed  the 
degree  of  fineness,  and  actual  value.  The  result  is  that  the  assayers  stamp  each  piece  after 
weighing  and  assaying  it,  that  it  contains  the  value  of  $50  of  coin  of  the  United  States.  Thus 
they  stamp  these  pieces ; but  if  you  will  look  on  their  faces  you  will  find  them  of  various 
degrees  of  fineness,  nor  are  they  of  the  fineness  of  coin  of  the  United  States.  This  value,  how- 
ever is  stamped  upon  them,  and  as  far  as  that  goes,  they  are  of  the  value  of  fifty  dollars,  but 


42 


PRIVATE  GOLD  COINAGE. 


not  of  the  fineness  of  the  coin  of  the  United  States.  This  Act  cuts  us  off  at  the  hips,  and  pre- 
vents the  receipt  of  ingots  stamped  under  the  law  of  1850.  It  declares  that  the  gold  issued 
under  the  new  Act  shall  be  of  the  fineness  of  coin  of  the  United  States.  Here  is  the  differ- 
ence which  my  friend  has  not  hit  on;  and  this  is  the  great  difference  — the  great  difficulty. 
I will  read  you  a few  figures  I have  taken  down  to  show  this  difference.  The  statute  fineness 
of  United  States  coin  is  nine  hundred  one-thousandths,  precisely,  and  one  hundred  one  thou- 
sandths parts  of  alloy,  composed  of  silver  and  copper.  There  is  no  alloy  of  copper  in  the 
ingots  assayed  here,  but  there  is  a very  considerable  alloy  of  silver,  which  is  not  taken  out 
because  it  is  an  expensive  matter  in  this  country,  labor  being  so  dear.  The  fineness  of  ingots 
is  from  880  to  890  and  897  one-thousandths.  They  vary,  and  here  lies  the  difficulty.  Whether 
by  design  or  accident,  in  the  recent  Act  the  term  fineness,  instead  of  value,  was  inserted, 
thereby  rendering  it  impossible  for  the  Secretary  to  take  them  in  payment  of  public  dues. 

Now  what  is  to  be  done  in  the  present  emergency,  at  this  moment,  I do  not  pretend  to 
suggest,  but  I will,  with  your  permission,  gentlemen,  say,  as  I am  still  exercising  the  duties  of 
Collector  here,  and  also  those  of  Assistant  Treasurer  (although  I hope  to  be  soon  relieved  of 
both),  I will  explain  the  embarrassing  circumstances  in  which  this  Act  has  placed  myself.  Up 
to  May  or  June  a year  ago  I was  simply  Collector  of  Customs  of  the  Port  of  San  Francisco,  and 
all  the  moneys  I received  were  held  by  me  as  Collector,  and  returned  to  the  Treasury  Depart- 
ment by  me  in  that  capacity.  It  became  necessary  under  the  law  to  have  an  Assistant  Treas- 
urer to  assist  in  taking  care  of  the  public  moneys.  In  May  or  June  last,  the  Secretary  of  the 
Treasury  transmitted  to  me  a preliminary  appointment  as  Assistant  Treasurer,  and  requested 
me  to  execute  bonds  to  the  sum  of  $ 100,000,  and  take  the  responsibility  of  the  office.  I was 
very  reluctant  to  take  it,  but  as  a matter  of  pride  I executed  the  bond.  He  then  imposed  upon 
me  the  duties  of  the  office  and  required  me  to  open  an  account  with  the  Treasury  of  the  United 
States,  and  transfer  from  myself  as  Collector  to  myself  as  Assistant  Treasurer,  all  the  moneys 
I held  as  Collector  of  the  Port  of  San  Francisco.  I have  been  therefore  acting  since  some  time 
in  August  last  as  Collector  and  Assistant  Treasurer  in  this  city.  Now  you  will  perceive  I am 
required  monthly  to  pay  over  to  myself  all  moneys  not  required  for  current  expenses  as  Col- 
lector, to  myself  as  Assistant  Treasurer,  for  which  I am  held  responsible  to  the  Treasury  of  the 
United  States  under  the  Sub-Treasury  Act  to  which  my  friend  [Ex-Gov.  Smith]  has  alluded, 
and  the  provisions  of  which  are  very  stringent.  A violation  of  the  provisions  of  this  Act  im- 
poses heavy  penalties,  even  to  the  penitentiary  — a punishment  not  very  pleasant  to  have 
before  one’s  eye.  {Laughter.)  I do  not  know  at  this  moment  that  if  I pursue  the  course 
which  I am  about  to  suggest,  I will  make  myself  liable  for  a penitentiary  offence  ; but  if  that  is 
the  punishment  I cannot  do  anything.  If,  on  the  other  hand,  after  taking  legal  advice,  I find 
I am  not  liable  to  anything  but  money,  I will  try  to  do  something  which  will  relieve  us  from 
the  embarrassment  into  which  we  are  thrown  by  this  unexpected  Act. 

Now,  it  has  been  suggested,  — and  if  I can  do  it  in  accordance  with  the  wishes  of  the 
mercantile  community,  and  without  making  myself  liable  to  a criminal  prosecution,  I will  do 
it,  — I will  receive  these  ingots  until  something  can  be  done,  or  at  least  until  coin  can  be  re- 
ceived, if  the  merchants  of  San  Francisco  will  think  proper  to  indemnify  me  for  the  pecuniary 
risk.  If  I do  this  it  will  be  at  a very  great  risk,  because  you  will  perceive  I will  be  overstep- 
ping the  orders  of  the  Treasury  Department,  which  are  imperative  that  I shall  pay  over  to 
myself  as  Assistant  Treasurer  all  moneys  not  required  for  current  expenses  at  the  Custom 
House.  If  I should  receive  these  ingots,  as  I have  shown  you,  the  other  receipts  as  Assistant 
Treasurer  are  cut  off,  because  these  ingots  are  not  of  the  fineness  of  U.  S coins,  which  the  law 
requires  they  should  be.  If  I receive  them  as  Collector,  I cannot  pay  them  to  myself  as  Assist- 
ant Treasurer  ; and  if  an  Assistant  Treasurer  should  be  appointed  as  I am  informed  there  is, 


MOFFAT  & CO.,  SAN  FRANCISCO. 


43 


he  could  not  receive  them  from  me.  I would,  therefore,  do  it  on  my  own  responsibility,  and  I 
would  have  to  settle  with  my  successor,  who  I hope  may  come  speedily.  I would  not  take  the 
responsibility  unless  the  merchants  of  San  Francisco  would  relieve  me  from  all  loss  inthe  matter. 

Now  if  you  will  bear  with  me  for  a few  moments  I will  tell  you  that  this  is  not  the  first 
embarrassment  in  which  I have  been  placed.  When  I came  here  I was  ordered  to  receive  these 
ingots  for  public  dues.  I did  so  until  the  month  of  June,  when  some  doubt  arose  whether  they 
were  legal  coin,  and  I was  told  not  to  receive  them.  That  was  in  June,  1851.  I knew  what  a 
shock  it  would  have  caused  if  I had  obeyed  the  order.  I was  not  then  Assistant  Treasurer, 
but  simply  Collector,  holding  the  public  money  and  returning  it  as  such,  notwithstanding  it  has 
been  said  I made  no  returns.  I sent  for  the  Assayers  privately  and  showed  them  the  order. 

I told  them  if  it  were  enforced  it  would  cause  the  greatest  difficulty,  and  if  they  would  indem- 
nify me  for  continuing  to  receive  them  I would  do  so  until  I wrote  to  the  Secretary  of  the 
Treasury  and  got  permission  to  continue  to  receive  them.  The  Assayers  placed  in  my  hands 
as  a deposit  ten  thousand  dollars,  to  indemnify  me  for  any  loss  if  the  Secretary  of  the  Treasury 
should  refuse  to  revoke  the  order  given  by  the  Commissioner  of  the  Customs.  In  reply  to  my 
communication  I received  this  letter,  which  I showed  to  Gov.  Smith  this  morning,  and  which 
the  gentleman  may  read  to  the  meeting  if  he  pleases.  [Voices  — “ Read  it  yourself.”] 

Mr.  King  proceeded  — It  is  as  follows  : 

Sir  — The  Department  is  informed  that  you  have  some  doubts  as  to  your  authority  to  receive  in 
payment  of  public  dues  the  bars  or  ingots  issued  by  the  United  States  Assay  Office  in  San  Francisco, 
and  in  order  to  remove  such  doubts,  I would  state  that  the  receipt  of  them  hereafter  is  approved,  and 
you  are  hereby  authorized  to  receive  them,  as  well  as  those  of  the  denominations  of  $20  and  $10  which 
the  Assayer  is  authorized  to  issue. 

That,  gentlemen,  was  the  approval  of  my  course  in  continuing  to  receive  ingots.  At  that 
time,  however,  I was  in  a different  position  to  that  which  I now  occupy.  I was  then  acting 
only  as  Collector,  and  I returned  the  money  in  my  hands  as  Collector.  I was  not  under  the 
liabilities  or  responsibility  of  an  Assistant  Treasurer  under  the  Sub-Treasury  Act.  I will  now 
say,  by  way  of  conclusion,  that  if  you  will  have  the  kindness  to  appoint  a committee  to  confer 
with  me  on  the  subject,  I will  take  legal  advice,  and  I will  communicate  to  that  committee  what 
I think  I ought  to  do:  and  if  it  is  possible  I will  unite  with  them  in  suggesting  some  plan, 
which,  if  the  merchants  will  ratify  and  sanction  and  stand  pledged  to  indemnify  me  for,  will 
enable  us  to  get  through  this  embarrassment. 

Ex-Governor  Smith  : I will  be  glad  to  say  a few  words  more,  and  I wish  it  to  be  under- 
stood that  I do  not  mean  directly  or  indirectly  to  make  a single  complaint  against  the  worthy 
Collector  of  the  Port.  He  has  taken  the  responsibility  once,  and  I have  no  doubt  will  do  so 
again,  the  fear  of  the  penitentiary  to  the  contrary  notwithstanding.  {Laughter.')  I will  ven- 
ture to  say  that  he  may  take  the  responsibility  fearlessly,  for  he  will  never  have  to  go  to  the 
penitentiary  for  it.  {More  laughter.)  I will  be  willing  to  go  arm  in  arm  with  him  to  his  destiny 
for  so  doing,  no  matter  what  might  be  the  consequences. 

But  one  word  as  to  the  misapprehension  as  to  the  difference  which  Mr.  King  alludes  to, 
and  also  to  another  point  which  has  not  been  referred  to.  I read  to  you  that  under  the  Janu- 
ary 1st  Act  it  was  declared  that  nothing  but  money  of  the  United  States,  which  was  of  sufficient 
fineness  should  be  received  in  payment  of  the  public  dues.  Mark  that.  The  first  Act  of  1799 
recognizes  nothing  but  gold  or  silver,  and  that  of  a sufficient  fineness.  I want  this  to  be  dis- 
tinctly understood,  because  the  coin  of  the  United  States  is  of  a standard  value.  The  Sub- 
Treasury  Act  goes  further,  and  says  that  all  sums  due  for  postage  or  otherwise  shall  be  paid  in 
gold  or  silver  coin  only.  That  is  the  Act  of  1816,  so  much  talked  of  and  so  much  misunder- 


44 


PRIVATE  GOLD  COINAGE. 


stood,  but  now  so  generally  approved.  It  was  the  law  that  gold  and  silver  of  a sufficient  fine- 
ness only  should  be  received.  Now  comes  this  Act  in  reference  to  the  Assay  Office.  Was  not 
that  Act  designated  to  relieve  California,  preliminary  to  the  establishment  of  a mint  here  ? 
Undoubtedly.  It  was  to  make  coin  — to  make  a currency  — a species  of  temporary  currency. 

I wish  it  understood  that  owing  to  the  emergency  of  the  time,  Congress  departed  from  its 
rules,  by  creating  a temporary  mint  here,  the  currency  and  issues  of  which  should  perform  the 
functions  of  coin  of  the  United  States  according  to  previous  Acts  of  Congress.  What  does  it 
say  ? It  says  : 

The  Secretary  of  the  Treasury  is  authorized  to  contract  with  some  assaying  office  in  California 
for  the  assaying  and  fixing  the  value  of  gold  in  grain  and  lumps,  and  in  forming  the  same  into  bars,  as 
shall  be  prescribed  by  the  Secretary  of  the  Treasury  — and  that  the  said  United  States  Assaver  shall 
cause  the  stamp  of  the  U.  S.  indicating  the  degree  of  fineness  and  value,  to  be  affixed  to  each  bar  or 
ingot  of  gold  that  may  be  issued  from  the  establishment. 

Now  what  was  the  use  of  appointing  an  Assayer  if  not  to  impress  the  fineness  and  value 
of  the  article  upon  its  face  ? I have  disposed  of  that,  and  now  one  word  more.  In  the  face  of 
this  law  as  it  stood,  in  the  face  of  the  law  requiring  coin  to  be  made  of  the  standard  fineness, 
I ask  Was  there  any  coin  not  of  sufficient  fineness  up  to  that  time  ? I put  the  question  to  the 
gentleman,  Was  there  any  coin  not  of  the  sufficient  standard  of  the  United  States  ? 

Mr.  King  : Of  course  there  was  no  coin  except  of  the  standard  fineness,  but  I would  call 
the  attention  of  my  friend  to  the  fact  that  the  Act  of  1850  does  not  require  the  issues  of  the 
Assay  Offices  to  be  of  sufficient  fineness,  but  that  the  actual  fineness  shall  be  stamped,  and  I 
have  read  to  you  that  the  degree  of  fineness  varies  and  — 

Ex-Gov.  Smith  : Yes,  we  heard  it  — we’ll  agree  that  it  varies. 

Mr.  King : The  standard  of  the  United  States  is  900  thousandths,  and  the  actual  stand- 
ard of  the  Assay  Office  varies,  as  I have  shown,  from  880  to  897  thousandths.  There  are 
various  degrees  of  fineness,  and  here  is  the  distinction  which  I beg  the  gentleman  to  perceive, 
and  on  which  the  whole  question  turns.  The  recent  Act  says  that  nothing  but  gold  and  silver 
of  standard  fineness  shall  be  received,  and  therefore  it  cuts  off  the  recent  issues  of  the  Assay 
Office.  I will  go  on  and  say  that  if  under  the  new  Act  a contract  should  be  made,  and  coin 
should  be  issued  of  the  standard  value  of  that  of  the  United  States,  I have  no  question  it  would 
be  receivable.  I have  no  doubt  the  Secretary  would  give  orders  to  receive  it.  But  the  Gov- 
ernment of  the  United  States  has  the  power  to  tell  me  to  receive  nothing  but  potatoes  in  pay- 
ment of  the  public  dues,  if  it  pleases.  They  have  said  that  bank  notes  or  treasury  notes  should 
be  received,  and  now  they  say  that  nothing  but  gold  and  silver  of  a sufficient  fineness  shall  be 
received.  Of  course  that  cuts  off  everything  else.  This,  it  seems  to  me,  is  very  plain. 

Ex-Governor  Smith  : I will  answer  that.  I pray  the  attention  of  the  meeting  to  this  point. 
I have  shown  that  all  the  Acts,  up  to  the  Sub-Treasury  Act  of  1846,  declare  that  nothing  but 
gold  and  silver  shall  be  received  in  payment  of  public  dues.  Of  course  under  the  Act  of  1846 
nothing  but  gold  and  silver  of  sufficient  fineness  could  be  received. 

Mr.  King  : Certainly. 

Ex-Gov.  Smith  : He  says  Certainly,  and  the  present  Act  re-echoes  the  same  thing.  Now 
that  is  exactly  what  I want  to  establish, — to  show  the  consistency  between  this  Act  and  the  others. 

Mr.  King:  Except  the  Act  of  1850. 

Ex-Gov.  Smith  : Except  the  Act  of  1850.  Now  what  is  this  Act?  Listen,  if  you  please. 
The  Act  of  September  30th,  1850,  authorizes  the  Secretary  of  the  Treasury  to  contract  with 
some  assaying  office  in  California  for  the  assaying  and  fixing  the  value  of  gold  in  grain  and 
lumps,  and  in  forming  the  same  into  bars,  as  shall  be  prescribed  by  the  Secretary  of  the  Treas- 


MOFFAT  & CO.,  SAN  FRANCISCO. 


45 


ury,  and  that  the  said  United  States  Assayer  shall  cause  the  stamp  of  the  United  States,  indi- 
cating the  value,  to  be  affixed  to  each  bar  or  ingot  of  gold,  that  may  be  issued  from  the  estab- 
lishment. Well,  now  does  that  authorize  the  Government  of  the  United  States,  or  does  it  not, 
to  receive  them  in  payment  of  public  dues  ? There  is  not  a word  said  on  the  subject.  It 
simply  authorizes  the  establishment  of  assay  offices,  and  the  creating  of  these  bars  or  ingots ; 
but  it  does  not  say  a word  as  to  the  receipt  of  them  in  payment  of  public  dues.  Well,  with  this 
law  before  him,  the  Secretary  of  the  Treasury  takes  the  subject  up  and  pronounces  them  cur- 
rency not  fit  to  be  received  as  coin  of  sufficient  standard.  This  last  Act  does  not  interfere 
with  them  in  any  manner  whatever.  How  stands  the  gentleman,  therefore  ? If  this  Act  inter- 
feres with  them  the  Secretary  of  the  Treasury  violates  the  law,  because  the  old  laws  all  required 
gold  or  silver  of  sufficient  fineness  — the  Secretary  of  the  Treasury  is  acting  in  violation  of  the 
law.  This  is  as  plain  as  a pike-staff  ( laughter ) ; but  he  was  not  acting  in  violation  of  law,  for 
this  very  Act  made  these  ingots  coins  of  the  United  States. 

Mr.  King : Certainly. 

Ex-Gov.  Smith  : The  gentleman  agrees  to  that.  Mark  this,  gentlemen,  he  agrees  with  me 
as  to  that.  The  question  then  is,  Does  the  law  prescribe  a different  rule  ? Certainly  not,  for 
it  secured  a sufficiency  of  fineness  as  well  as  anything  else.  But  let  us  look  at  the  facts  of  the 
case.  Here  is  a bill  passed  in  a hurry,  at  the  end  of  the  session ; it  is  tacked  on  the  General 
Appropriation  Bill.  It  goes  into  the  hands  of  the  Secretary  of  the  Treasury  in  a hurry,  and  he 
acts  on  it  in  hot  haste.  Was  there  any  necessity  for  his  acting  upon  it  so  hastily  ? Does  the 
Act  not  show  that  it  was  the  intention  of  Congress  to  authorize  the  receipt  of  these  ingots  ? Why 
does  the  Act  require  the  establishment  of  more  assaying  offices  ? I say  there  is  no  necessity 
for  this  action,  and  I say  again  that  such  Acts  as  these  are  never  repealed  by  implication.  It 
is  a correct  principle  that  one  Act  cannot  repeal  another  by  implication.  Under  the  law,  the 
Collector  was  authorized  to  receive  them,  and  Congress  was  never  heard  to  whisper  even  one 
word  of  disapprobation.  What,  then,  is  the  result?  It  is  as  plain  as  can  be.  There  is  no 
finer  feeling  in  the  world  than  what  springs  from  a conviction  that  is  honest  and  right,  and 
under  such  feeling  a Collector  may  bid  defiance  to  all  sorts  of  combinations  against  him.  I 
would  not  hesitate  to  say  that  a man  who  owed  dues  to  the  Government  should  stand  upon 
his  rights  in  this  matter  before  God  and  his  country,  and  I would  answer  for  the  results. 

Mr.  King  : May  I be  permitted  one  word.  This  discussion  has  proceeded  much  farther 
than  I supposed  it  would,  and  it  is  really  not  pertinent  to  the  business  actually  before  the 
meeting.  We  came  here  to  ascertain  what  we  could  do  to  get  out  of  the  difficulty  in  which  we 
are  placed.  It  does  not  matter  much  what  former  Acts  of  Congress  may  have  done  regarding 
the  coins  of  the  United  States.  The  Act  of  1850  made  the  issues  of  these  Assay  Offices  coin 
of  the  United  States.  I have  no  doubt  of  it.  It  was  a new  law,  and  it  authorized  the  issue  of 
new  coin,  and  as  far  as  that  coin  was  concerned,  it  was  an  exception  to  the  law  requiring  a 
degree  of  fineness  of  nine-hundred  thousandths.  But  the  actual  value  was  required  to  be  im- 
pressed on  the  piece.  That  Act  did  not  interfere  with  the  Mint  of  the  United  States,  which 
was  still  required  to  issue  coin  of  nine-hundred  thousandths  value.  I was  ordered  to  receive 
them,  I did  so.  Now  this  Act  forbids  their  receipt,  or  in  other  words  requires  that  nothing 
shall  be  received  here  except  coin  of  nine-hundred  thousandths  in  value.  Therefore,  you  cannot 
receive  coin  of  eight-hundred  thousandths.  That  is  a simple  question.  I am  sorry  to  have  to 
refer  to  it  again,  but  that  is  the  technical  point  of  the  matter,  and  I do  not  see  that  the  Secre- 
tary of  the  Treasury  had  authority  to  do  anything  else.  When  new  assay  offices  are  formed, 
and  coin  issued  of  a standard  value,  there  will  be  no  objection  to  receive  them. 

Mr.  J.  P.  Haven,  Agent  of  the  Underwriters  in  this  city,  said  he  had  in  his  hand  a Reso- 
lution which  he  was  requested  to  offer.  He  would  propose  it  without  any  remarks.  It  simply 


46 


PRIVATE  GOLD  COINAGE. 


proposes  to  get  out  of  the  difficulty  in  which  we  are  placed  by  the  new  law.  The  Resolution 
was  as  follows  : 

Resolved : That  a committee  of  five  be  appointed  to  confer  with  the  public  officers  entrusted  with 
the  collection  of  the  revenue,  and  that  said  committee  report  to  an  adjourned  meeting  a course  of  action 
to  be  adopted  by  those  interested  in  the  payment  of  public  dues. 

The  Resolution  was  passed,  and  on  motion  the  Chair  appointed : Messrs.  F.  W.  Macon- 
dray,  G.  B.  Post,  H.  Haight,  J.  P.  Haven,  and  Robert  Rogers  as  the  committee. 

On  motion,  the  Chairman,  Beverly  C.  Sanders,  Esq.,  was  added  to  the  committee. 

On  motion  the  meeting  adjourned  to  meet  again  at  the  same  hour  and  place  on  Monday 
next,  to  hear  the  report  of  the  committee. 

Immediately  upon  the  publication  of  the  letter  of  instruction  of  Assistant 
Secretary  Hodge  to  Collector  King,  a Memorial  was  prepared  outlining  the 
disadvantages  under  which  the  California  business  men  had  been  laboring, 
because  of  the  lack  of  a proper  circulating  medium.  This  Memorial,  forwarded 
to  Secretary  Corwin  of  the  Treasury,  read  as  follows  : 

MEMORIAL. 

The  Hon.  Thomas  Corwin,  Secretary  of  the  Treasury , Washington. 

Sir  : The  undersigned  merchants,  bankers,  traders,  and  others,  residents  of  the  State  of 
California,  in  view  of  the  late  Act  of  Congress  and  the  instructions  issued  by  the  Treasury 
Department  prohibiting  the  receipt  of  other  than  American  and  foreign  coin  in  payment  of 
public  dues,  beg  leave  to  present  the  following  statement  of  facts  for  your  consideration : 

Chief  among  the  evils  experienced  by  the  citizens  of  California  engaged  in  mercantile 
transactions  after  the  discovery  of  gold  was  the  absence  of  a circulating  medium.  A country 
prior  to  and  during  its  occupation  by  the  American  forces  had  known  no  other  representatives 
of  value  than  its  hides  and  cattle,  whose  imports  were  so  limited  as  to  afford  employment  to 
only  a dozen  vessels  annually,  at  once  became  the  resort  of  all  the  unemployed  vessels  on  the 
Pacific,  and  when  the  stimulant  of  so  important  a discovery  was  communicated  to  our  Atlantic 
and  the  European  cities,  a thousand  vessels  entered  the  port  of  San  Francisco  the  year  suc- 
ceeding, freighted  with  valuable  cargoes,  to  supply  the  host  that  had  embarked  for  the  theatre 
of  such  profitable  labor. 

Under  the  administration  of  the  military  government  of  the  Territory  the  impossibility  of 
collecting  duties  in  the  coin  prescribed  by  law  was  so  apparent  as  to  leave  the  officers  of  col- 
lection no  other  alternative  than  to  receive  gold-dust  on  deposit  as  a security  of  the  ultimate 
payment  in  coin  of  the  amounts  due  on  the  importation.  These  deposits  were  subsequently 
sold  at  public  auction,  and  gold  the  known  value  of  which  approximated  $18  per  ounce  realized 
but  from  $6  to  $8  per  ounce.  The  extreme  low  rates  at  which  gold  was  purchased  by  the 
holders  of  the  limited  amount  of  coin  then  in  the  country  induced  importations  from  the  South 
American  republics  of  the  debased  currency  of  those  countries,  and  for  a brief  period  sup- 
plied the  demand  so  painfully  experienced  for  a medium  of  circulation  other  than  the  native 
gold  used  in  the  ordinary  transactions  of  trade. 

Upon  the  establishment  of  the  Collective  District,  of  which  this  city  is  the  great  centre, 
the  instructions  of  the  Department  being  imperative,  the  newly  appointed  revenue  officers 
exacted  the  payment  of  all  public  dues  either  in  the  National  mint  issue  or  in  those  of  foreign 
governments  at  the  rates  prescribed  by  the  Act  of  Congress.  All  the  coin  in  a short  time  was 


MOFFAT  & CO.,  SAN  FRANCISCO. 


47 


absorbed  by  the  Treasury,  and  resort  was  had  to  numerous  private  coinages,  the  evils  of  which 
were  only  checked  by  the  Act  authorizing  the  appointment  of  an  Assayer,  and  instructions  from 
the  Department  permitting  the  receipt  of  the  Assay  Office  ingots  in  payment  of  the  revenue. 
The  result  was  most  beneficial,  not  only  to  the  mercantile  community,  but  was  more  especially 
felt  by  the  miners,  the  price  of  gold-dust  advancing  from  the  current  rate  of  $16  an  ounce,  at 
which  value  it  was  used  in  barter,  to  $17  and  $17.50  per  ounce ; a circulating  medium  was 
furnished,  the  baser  coin  of  foreign  countries  driven  comparatively  from  circulation,  and  the 
private  coining  establishments  compelled  to  discontinue  operations.  The  confidence  with  which 
a coinage  attested  by  an  officer  of  the  United  States  was  regarded  withdrew  from  their  hoard- 
ing places  the  National  emission,  and  the  State  at  large  was  provided  with  a currency  bearing 
the  same  value  in  all  parts  and  for  all  uses. 

It  is  true  the  people  of  California  were  not  wholly  contented  with  the  substitute  for  a 
mint  coinage,  and  have  loudly  called  for  the  establishment  of  a mint;  yet  the  issue  of  the 
Assay  Office  was  productive  of  so  many  advantages  as  to  be  gratefully  received  as  an  earnest 
of  the  greater  benefits  soon  to  be  conferred  upon  the  youngest  sister  of  the  Confederation. 

To  illustrate  the  injustice  of  the  Act,  and  the  hardships  attendant  upon  its  operation,  we 
beg  to  apprize  you  that  within  two  days,  or  since  the  instructions  emanating  from  the  Depart- 
ment were  made  known,  American  coin  has  advanced  from  ^ to  10  per  cent,  premium,  and  as 
a natural  consequence  articles  of  a dutiable  class  have  advanced  in  prices  in  even  greater  ratio. 
Flour  quoted  on  the  5th  at  $27  a barrel  was  sold  on  the  9th  at  $29.  The  scarcity  of  goods  at 
this  juncture  is  great,  and  their  prices  range  from  50  to  150  per  cent,  above  original  cost.  If 
to  those  prices  we  are  called  upon  to  pay  an  additional  tax  of  10  per  cent,  upon  the  amount  of 
duties  regulated  by  the  Tariff  Act,  it  is  in  fact  to  increase  the  cost  to  the  consumer  in  like  ratio. 
We  could  multiply  instances  of  a similar  character  were  it  necessary  to  show  that  the  miner 
will  receive  less  for  the  fruits  of  his  toil,  and  the  consumer  be  required  to  pay  more  for  the 
necessaries  of  life,  if  the  importer  is  compelled  to  add  to  the  prices  of  goods  the  freight,  insur- 
ance, and  interest  on  coin  introduced  from  the  Atlantic  cities.  We  contend,  moreover,  that 
having  legalized  a medium  which  is  in  fact  the  currency  of  the  State,  it  is  illegal  as  it  is  unjust 
for  the  Government  to  repudiate  the  offspring  of  its  own  creation. 

From  inquiries  of  the  Honorable  Collector  of  this  Port  we  learn  the  amount  of  duties 
payable  monthly  to  this  office  averages  nearly  $200,000.  And  we  have  ascertained  that  the 
American  coin  held  by  seven  principal  bankers  in  this  city,  whose  united  deposits  exceed 
$1,500,000,  does  not  amount  to  $100,000,  sufficient  to  discharge  the  duties  accruing  and  pay- 
able within  the  next  fifteen  days.  The  inability  of  the  merchants  of  San  Francisco  to  comply 
with  the  stringent  instructions  of  the  Department  is  therefore  apparent.  It  is  not  a question 
of  convenience,  of  additional  imports,  or  of  impracticability,  but  is  shown  to  be  an  impossibility. 

In  this  emergency,  the  Collector  of  the  Port  having  readily  consented  to  the  only  measure 
of  relief  which  did  not  subject  him  to  the  penalties  of  the  law,  by  continuing  to  receive  the 
assay  ingots  as  a deposit  merely,  securing  himself  by  individual  guarantees  against  loss  in  their 
ultimate  exchange  into  American  coin,  it  becomes  our  duty  in  earnest  but  respectful  terms  to 
memorialize  the  Department  to  approve  and  confirm  his  action  in  relation  thereto,  and  to  re- 
quest that  upon  the  issue  by  the  Assay  Office  of  ingots  of  standard  fineness  of  American  mint 
coinage,  to  authorize  their  receipt  in  payment  of  all  public  dues. 

In  view  of  the  riches  daily  being  poured  out  upon  the  common  land  by  the  State  of  Cal- 
fornia,  and  the  great  stimulus  to  every  branch  of  trade,  manufacture,  and  commerce,  commun- 
icated by  the  enterprise  of  its  citizens,  we  claim  this  as  merited  by  every  principle  of  right  and 
justice. 


(Signed  by  numerous  merchants.) 


48 


PRIVATE  GOLD  COINAGE. 


Certain  criticisms  as  to  the  fineness  of  the  coins  of  the  Assay  Office  having 
been  published  in  the  newspapers,  the  United  States  Assayer  explained  his 
position  in  the  “San  Francisco  Herald”  of  Oct.  13,  1852,  as  follows: 

As  erroneous  impressions  seem  to  have  gone  abroad  in  this  community  in  regard  to  the 
United  States  Assay  Office,  permit  me  through  your  columns  to  make  the  following  statement : 

The  average  of  the  rates  of  commission  at  present  charged  at  this  office  is  if  per  cent. 
The  issues  of  the  office  are  of  the  denominations,  in  fineness,  of  880,  884,  and  887  thousandths, 
adopted  as  a standard  heretofore  in  consequence  of  these  respective  figures  being  about  the 
average  fineness  of  gold  found  in  California  — it  being  well  understood  that  coins  of  a lower 
degree  of  fineness  are  made  of  greater  weight,  in  order  that  they  shall  possess  the  full  value  of 
coin  of  the  United  States  Mint. 

Now  as  the  gold  deposited  for  assay  of  late  has  ranged  much  higher  in  fineness  than 
formerly,  it  will  be  possible,  without  additional  authority,  to  issue  also  at  the  same  cost,  and  for 
the  same  rates  of  commission  as  charged  for  the  other  issues  of  the  establishment  — a standard 
of  900  thousandths  fine,  the  alloy  being,  as  in  all  previous  issues,  the  silver  originally  found 
in  connection  with  the  gold.  This  is  all  this  office  has  proposed  to  do.  In  regard  to  what 
constitutes  the  standard  fineness  of  the  United  States  coin  the  following  is  the  law  .- 

An  Act  supplementary  to  the  Act  entitled  An  Act  establishing  a Mint,  and  regulating  the  coin  of 
the  United  States,  approved  Jan.  1 8,  1837 

Section  8.  — That  the  standard  for  both  gold  and  silver  coins  of  the  United  States  shall  hereafter 
be  such  that  of  one  thousand  parts,  by  weight,  nine  hundred  shall  be  of  pure  metal,  and  one  hundred  of 
alloy ; and  the  alloy  of  the  gold  coins  shall  be  of  copper  and  silver ; provided  the  silver  do  not  exceed 
one-half  of  the  whole  alloy. 

It  is  manifest  that  to  conform  strictly  to  this  standard  of  the  Mint,  in  all  its  points  — 
that  is,  to  make  the  coin  of  a fineness  of  900  thousandths  of  gold,  and  the  “ alloy  of  not  more 
than  one-half  silver,  and  the  balance  copper”  — would  involve  the  necessity  of  separating  the 
silver  from  the  gold  and  substituting  copper.  And  it  is  very  evident  that  this  long,  tedious, 
and  expensive  process  cannot  be  adopted  until  the  proper  facilities  are  afforded  by  the  branch 
of  the  Mint  which  is  to  be  established  in  San  Francisco,  connected  with  which  there  must 
necessarily  be  refining  and  chemical  works  for  the  manufacture  of  acids. 

United  States  Assay  Office,  Augustus  Humbert, 

San  Francisco,  Oct.  12,  1852.  U.  S.  Assayer. 

The  committee  of  merchants  appointed  at  the  meeting  of  Oct.  9,  made 
the  following  proposition  to  the  Collector  of  the  Port  in  regard  to  the  accept- 
ance of  the  issues  of  the  Assay  Office  in  payment  of  customs  duties: 

That  five  Trustees  be  nominated  to  execute  a bond  to  the  Collector  conditioned  for  the 
payment  to  him,  at  the  period  of  his  retirement  from  office,  of  a sum  of  American  or  other  legal 
coin  equal  to  the  amount  of  the  balance  of  the  ingots  received  by  him  from  this  date.  To  in- 
demnify the  parties  to  the  bond  it  is  proposed  that  importers  who  shall  not  wish  to  bond  their 
goods  or  enter  the  market  to  procure  coin  at  the  advanced  premium  which  it  will  probably 
command,  shall  make  a deposit  of  5 per  cent,  of  the  amount  of  ingots  paid  in  by  them,  to  the 
credit  of  the  Trustees;  and  at  the  same  time  execute  a bond  to  the  said  Trustees,  under  the 
provisions  of  which  the  sum  so  deposited  may  be  used,  either  in  the  purchase  of  coin  at  low 
rates,  if  practicable,  to  exchange  for  the  ingots,  or  from  which  to  realize  the  amount  of  coin 


MOFFAT  & CO.,  SAN  FRANCISCO. 


49 


when  called  for  by  the  Collector.  Should  a repeal  of  the  law,  as  is  confidently  anticipated,  be 
obtained,  or  the  reception  of  ingots  be  authorized,  the  sum  so  deposited  will  be  returned  to  the 
owners  thereof  without  charge. 

It  would  seem  that  the  proposition  of  the  merchants  that  they  guarantee 
the  Collector  against  any  loss  through  the  free  acceptance  of  the  Assay  Office 
ingots  satisfactorily  settled  all  difficulty,  for  the  California  newspapers  made 
no  further  mention  of  the  matter. 

As  far  as  can  be  learned  the  only  action  taken  upon  the  petition  of  the 
San  Francisco  merchants  by  the  Secretary  of  the  Treasury  was  to  make  the 
following  recommendation  in  his  report  for  1852  : 

By  the  Act  of  Sept.  30,  1850,  Congress  authorized  the  appointment  of  a United  States 
Assayer  for  California,  and  directed  a contract  to  be  made  by  the  Department  with  the  proprie- 
tors of  some  well-established  assaying  works  for  assaying  gold  and  forming  it  into  bars  and 
ingots  under  the  supervision  of  the  Assayer.  A contract  was  concluded,  and  ample  security 
required  for  its  faithful  performance,  and  the  contractors  were  limited  in  their  charges  for  the 
services  rendered  by  them  to  the  rate  fixed  by  the  Legislature  of  California  in  establishing  the 
State  Assay  Office. 

The  Department  was  induced,  with  a view  to  furnish  so  far  as  it  had  the  power  a safe 
and  convenient  currency  to  the  people  of  California,  to  authorize  the  receipt  of  the  issues  of 
the  Assay  Office  thus  established  for  public  dues,  especially  as  they  have  all  the  essential  requi- 
sites of  coin,  and  as  this  was  believed  to  be  the  object  of  Congress.  The  general  Appropriation 
Act  of  the  last  session  contained  a provision  by  which  a further  receipt  of  these  issues  was  pro- 
hibited, and  in  obedience  thereto  the  instruction  under  which  they  had  been  received  was 
revoked.  The  Department  has  reason  to  believe  from  petitions  addressed  to  it  by  a public 
meeting  of  the  merchants  of  San  Francisco,  and  from  information  received  from  other  reliable 
sources,  that  much  inconvenience  and  embarrassment  has  resulted  from  this  legislation.  It 
remains  with  Congress,  however,  to  say  what  relief  shall  be  extended,  and  the  subject  is 
submitted  to  their  consideration. 

As  soon  as  the  Collector  of  the  Port  announced  that  it  was  his  opinion 
that  the  reason  the  Secretary  of  the  Treasury  had  ordered  him  to  refuse  the 
ingots  of  the  Assay  Office  was  because  they  were  of  a lower  standard  than 
United  States  coins,  it  was  suggested  that  this  difficulty  might  be  surmounted 
by  the  issue  on  the  part  of  the  Assay  Office  of  pieces  of  the  Government 
standard  of  900  thousandths.  Representations  were  made  to  Messrs.  Curtis, 
Perry  & Ward,  and  they  immediately  prepared  to  strike  coins  of  the  fineness 
of  900  thousandths,  saying  they  thought  this  might  be  done  in  the  course 
of  a week. 

Apparently  very  few  ingots  were  issued  at  the  Assay  Office  after  Octo- 
ber, 1852,  of  a fineness  lower  than  900  thousandths.  The  publication  of  a 
new  tariff  by  Messrs.  Curtis,  Perry  & Ward  made  the  coining  of  $50  ingots 
undesirable,  and  it  is  not  probable  that  a piece  of  this  denomination  was  issued 
bearing  date  of  1853.  From  a San  Francisco  newspaper  of  1853,  we  extract 
the  following : 


5° 


PRIVATE  GOLD  COINAGE. 


For  the  information  of  the  public  at  home  and  abroad  we  publish  below  the  new  tariff  of 
coinage  recently  issued  by  the  Assay  Office  in  this  city : 


For  $20  pieces,  under  4000  dwts.  . 

Per  Cent. 

2 

For  $20  pieces,  from  4000  to  8000 



For  $20  pieces,  over  8000 

IV2 

For  $10  pieces,  under  8000 

2 Vi 

For  $10  pieces,  for  8000  and  over  . 

2 

For  melting  and  assaying  into  bars 

I 

For  large  amounts 

0% 

It  will  be  apparent  on  examining  the  above  that  the  issue  of  ingots  will  for  the  present 
cease,  as  no  person  would  pay  the  same  percentage  for  coining  them  (i£  per  cent,  the  rate)  as 
for  $20  pieces.  We  may  therefore  reasonably  congratulate  ourselves  on  having  soon  a circu- 
lating medium  without  any  of  the  objections  so  long  and  strenuously  urged  against  the  octagon. 

The  new  table  of  rates  announced  by  Curtis,  Perry  & Ward,  in  which 
they  stated  that  the  $10  and  $20  pieces  could  be  struck  at  the  Assay  Office 
as  cheaply  as  the  fifty-dollar  pieces,  effectually  put  an  end  to  the  issue  of  the 
larger  pieces,  for  depositors  of  gold  could  thus  have  their  raw  metal  trans- 
formed into  the  smaller  and  more  useful  coins  at  an  equal  expense.  At  this 
time  the  establishment  of  Messrs.  Curtis,  Perry  & Ward  was  the  most  exten- 
sive in  California,  as  will  be  seen  by  the  following  reference  to  it  in  “ Daily 
Alta  California  ” of  March  2,  1853  : 

The  machinery  made  use  of  by  Messrs.  Curtis,  Perry  & Ward  is  of  the  same  description, 
made  by  the  same  mechanics,  and  is  as  perfect  in  all  its  parts,  as  that  of  the  United  States  Mint 
at  Philadelphia.  The  capacity  of  their  press  is  such  as  to  enable  them  to  coin  $360,000  in  $10 
pieces  and  $720,000  in  $20  pieces  per  day,  and  it  keeps  up  with  their  facilities  for  drawing, 
cutting,  and  adjusting  by  being  worked  only  a few  hours  per  day.  The  mechanical  execution 
of  the  coin  itself  is  fully  equal  to  that  of  the  United  States  Mint,  as  will  be  seen  by  a compari- 
son of  the  coins.  Too  much  credit  cannot  be  awarded  to  Messrs.  Curtis,  Perry  & Ward  for 
the  radical  change  in  the  facilities  for  coinage  offered  by  them  to  the  people  of  this  State  while 
at  the  same  time  it  is  advantageous  to  them  personally. 

There  are  no  records  to  show  the  number  of  pieces  of  coin  issued  by  the 
United  States  Assay  Office.  At  the  time  no  attempt  seems  to  have  been 
made  to  keep  track  of  the  number;  apparently  records  of  the  lots  of  gold  in 
bulk  received  and  coined  alone  were  kept,  and  where  these  records  now  are 
is  unknown.  Representatives  of  the  newspapers  of  the  period  made  frequent 
efforts  to  obtain  these  particulars,  and  even  then  the  coiners  were  unable  to 
furnish  them. 

That  the  number  of  pieces  issued  by  the  Assay  Office  ran  into  many 
thousands  is  unquestioned,  for  in  one  of  the  few  published  statements  of  the 
private  coinage,  which  represented  the  period  from  Jan.  1,  1851,  to  March 
31,  1851,  Moffat  & Co.  had  struck  $89,000  of  their  coins  bearing  the  name 
of  “ Moffat  & Co.”  up  to  Jan.  27,  when  they  ceased  the  issue  of  this  variety, 


MOFFAT  & CO.,  SAN  FRANCISCO. 


5 1 


and  commenced  the  coinage  of  the  octagonal  ingots  bearing  the  Assay  Office 
stamp,  of  which,  at  the  end  of  March  31,  a total  of  $350,000  worth  had  been 
coined. 

The  “San  Francisco  Herald”  of  Oct.  31,  1851,  in  an  article  on  private 
gold  coinage,  had  the  following  to  say  in  regard  to  the  amount  of  coinage 
produced  by  the  Assay  Office  : 

....  Since  the  publication  of  the  product  for  the  quarter  ending  March  31  of  this  year 
the  six  coining  establishments  then  in  operation  have  ceased  to  issue.  They  have  been  super- 
seded by  the  United  States  Assay  Office By  reference  to  our  files  we  find  that  the 

United  States  Assay  Office  coined  $600,000  during  the  first  quarter  of  1851,  at  a time,  too, 
when  Baldwin  was  coining  $590,000,  and  Moffat,  Shultz,  and  Dubosq  together  some  $350,000. 
Nearly  all  these  private  coins,  except  Moffat’s,  have  been  recoined  into  $50  pieces.  Taking 
this  into  consideration,  and  also  the  increased  percentage  of  exports  which  may  also  be  applied 
to  the  coinage,  it  would  appear  that  the  Assay  Office  must  have  coined  during  the  quarter 
ended  Sept.  30,  not  less  than  $1,000,000.  This  is  doubtless  a low  estimate,  and  the  true 
amount  may  reach  two  millions 

On  Sept.  30,  1851,  the  “ Prices  Current  ” said  that  the  amount  of  gold-dust  at  the  Assay 
Office  to  be  smelted  and  made  into  fifty-dollar  ingots  had  lately  been  on  the  increase,  and  occa- 
sionally attained  the  figure  of  $100,000  per  day. 

The  comparative  scarcity  of  the  fifty-dollar  slugs  at  the  present  time,  not- 
withstanding the  enormous  number  originally  struck,  may  be  ascribed  to  the 
fact  that  as  the  ungainly  pieces  were  worth  much  above  their  face  value,  a 
considerable  profit  was  derived  from  remelting  them.  Foreign  bankers,  it  is 
said,  preferred  the  octagonal  ingots  to  regular  American  coin,  and  they  were 
exported  in  huge  quantities,  some  direct  from  California,  others  from  New 
York  City.  An  item  appeared  in  one  of  the  papers  on  Jan.  13,  1853,  to  the 
effect  that  the  steamer  Asia,  from  New  York  to  Liverpool,  took  $200,000  in 
fifty-dollar  gold  pieces.  The  possibilities  of  profit  through  handling  them  are 
shown  by  the  report  of  the  United  States  Mint  Assayers,  Messrs.  Eckfeldt 
and  Du  Bois,  which  stated : 

The  two  professed  finenesses,  .880  and  .887  thousandths,  are  found  upon  assay  here  to 
be  duly  maintained,  whether  in  single  pieces  or  in  large  quantities.  But  some  irregularity  in  the 
weight  of  so  large  a piece,  alloyed  with  silver  only,  and  offering  eight  corners  to  wear,  is  to  be 
expected.  When  presented  in  quantities  sufficient  for  parting  the  silver,  say,  seventy  ounces, 
the  average  mint  value  is  about  $50.10;  in  less  quantities,  the  silver  not  being  allowed  for,  the 
average  value  is  about  $49.90.  But  even  without  the  silver  they  occasionally  come  up  fully  to 
the  alleged  value. 

The  United  States  Assay  Office  ceased  operations  December  14,  1853, 
and  the  close  of  that  year  marked  the  last  of  the  issues  of  the  coins  bearing 
the  stamp  of  “ Moffat  & Co.,”  although  the  latter  conducted  an  Assay  Office 
in  San  Francisco  until  some  time  in  the  early  ’sixties. 

Messrs.  Curtis  & Perry,  late  of  the  United  States  Assay  Office,  took  the 
contract  to  furnish  both  building  and  machinery  for  the  new  United  States 


52 


PRIVATE  GOLD  COINAGE. 


Branch  Mint,  — Mr.  Curtis  attending  to  the  construction  of  the  building  and 
Mr.  Perry  making  all  the  arrangements  for  the  machinery.  Twenty  feet  front- 
age was  added  to  their  old  establishment  on  Commercial  Street,  near  Mont- 
gomery, and  the  Branch  Mint  began  operations  April  15,  1854,  by  striking  a 
number  of  twenty-dollar  gold  pieces  of  the  National  design. 

Following  are  given  the  various  denominations  issued  by  Moffat  & Co. ; 
Augustus  Humbert,  United  States  Assayer,  and  the  United  States  Assay 
Office  of  Gold,  from  1849  to  the  close  of  1853  : 

MOFFAT  & CO. 

1849. 

6 — Sixteen  Dollars.  A rectangular  ingot.  Obverse , In  three  lines,  the  inscription:  moffat  & 
co.  | 20%  carat  | $ 1 6.00 

It  is  not  improbable  that  this  was  the  form  of  the  earliest  pieces  of  gold  which 
passed  as  money  in  California.  A local  paper  of  1849,  referring  to  the  original  currency 
of  the  State,  said  that  at  first  rectangular  bars  of  gold  of  the  value  of  $20  and  $50  were 
circulated.  That  no  examples  of  these  values  are  now  known  does  not  necessarily  prove 
that  none  was  ever  issued,  for  many  different  values  of  ingots  produced  by  Moffat  & 
Co.  are  on  record,  ranging  in  denomination  from  $9.43  to  nearly  $3,000.  The  Mint 
Assayers  refer  to  the  assay  of  one  ingot  in  particular  which  had  a value  of  $264,  and 
also  state  that  the  Moffat  ingots  assayed  and  melted  at  the  Mint  bore  the  varying  fine- 
nesses of  21^,  2i£,  21^,  2 1 1 , 2o|,  22,  and  21^  carats.  Only  two  ingots  containing 
gold  of  any  of  these  finenesses  are  now  known,  viz : one  of  $16  and  one  of  $9.43,  which 
possess  finenesses  respectively  of  2of  and  2\N  carats.  The  $16  ingot  is  said  to  have 
been  intrinsically  worth  $15.75. 

7 — Nine  Dollars  and  Forty-three  Cents.  This  ingot  differed  in  form  from  the  one  of  Si  6 de- 
nomination. One  end  is  rounded.  Obverse , In  three  lines:  moffat  & CO.  | 21^16  CARAT  | $9.43 
Reverse , In  a single  line  : 10  dwt.  6 GRS. 

Only  one  specimen  of  this  ingot  is  known  to  exist,  which  is  in  the  collection  of  the 
United  States  Mint  at  Philadelphia. 

8 — Ten  Dollars.  Obverse , Head  of  Liberty  to  the  left,  surrounded  by  thirteen  stars.  Beneath 
is  the  date,  1849.  0°  the  coronet  of  Liberty,  moffat  & CO.  Reverse,  An  eagle,  with  the  United 

States  shield  on  his  breast;  in  the  right  talon  an  olive  branch  ; the  left  holds  three  arrows.  The  main 
devices  on  both  obverse  and  reverse  closely  resemble  the  regular  Ten  Dollar  piece  of  the  United  States 
Mint.  Around  the  border  of  the  reverse,  at  the  upper  portion,  is  the  inscription,  s.  M.  v.  California 
gold.  At  the  bottom,  the  denomination,  ten  dol. 

This  was  the  first  coin  struck  by  Moffat  & Co.,  and  is  said  to  have  been  the  first 
piece  of  the  denomination  issued  in  California,  of  the  private  series.  We  have  already 
commented  on  the  letters  s.  m.  v.‘  The  1849  Ten  Dollar  piece  is  not  at  all  scarce,  but 
a very  good  specimen  brought  $17  at  the  Stickney  sale.  There  are  three  varieties, 
but  they  are  probably  merely  die  varieties,  and  represent  no  radical  difference  in  design. 

1 See  page  15. 


MOFFAT  & CO.,  SAN  FRANCISCO. 


53 


9 — Five  Dollars.  Obverse  and  Reverse , Similar  to  those  of  the  Ten  Dollar  piece,  the  reverse 
inscription  reading,  s.  m.  v.  California  gold,  five  dol. 

This  is  one  of  the  commonest  of  all  the  issues  of  California  private  coins,  and  con- 
sists of  several  die  varieties,  which  are  held  at  a slight  premium. 

1850. 

10  — Five  Dollars.  Obverse  and  Reverse , Similar  in  design  to  the  piece  of  the  same  denomination 
issued  in  1849.  (See  9-)  There  are  several  die  varieties  of  the  date  of  1850. 

1851. 

There  are  no  coins  of  Moffat  & Co.  bearing  the  above  date,  so  far  as  can  be  ascer- 
tained, but  coins  with  the  stamp  moffat  & co.  were  undoubtedly  struck  in  1851,  before 
the  arrival  of  Augustus  Humbert,  the  newly  appointed  United  States  Assayer. 

AUGUSTUS  HUMBERT,  UNITED  STATES  ASSAYER  OF  GOLD,  CALIFORNIA. 

(MOFFAT  & CO.) 

1851. 

ii — Fifty  Dollars.  Obverse , Within  a beaded  circle  an  eagle  standing  on  a rock,  his  head  to 
right;  the  right  talon  holds  a shield  and  three  arrows;  the  left  a bundle  of  arrows.  In  the  beak  a 
scroll  inscribed  liberty.  Around  the  inside  of  the  enclosing  circle,  at  the  top,  united  states  of 
America.  Below  is  the  denomination,  50  D c.  Above  the  eagle,  on  a label,  880  thous.  ; the  ends 
of  this  label  turn  outward.  Sunk  in  the  edge,  Augustus  Humbert  united  states  assayer  of  gold 
California  1 85 1.  That  portion  of  the  planchet  outside  the  die  (which  is  circular)  is  not  depressed. 
Reverse , A mass  of  engine-turning.  In  the  centre  a small  circular  target  enclosing  50.  Octagonal. 

The  first  of  the  Fifty  Dollar  pieces  issued,  and  regarded  as  one  of  the  rarest. 

12  — Fifty  Dollars.  Obverse , Same  as  1 1,  but  fineness  887  thous.  Reverse , The  value  50  in 
the  centre  of  the  engine-turning  is  absent.  Octagonal. 

The  dies  for  the  first  of  the  two  varieties  of  the  octagonal  Fifty  Dollar  ingots  were 
undoubtedly  the  work  of  Charles  C.  Wright,  the  famous  medalist,  who  resided  in  New 
York  City  at  that  period.  Augustus  Humbert  also  lived  in  New  York  City  at  the  time 
of  his  appointment  as  United  States  Assayer  in  the  latter  part  of  1850,  and  it  is  quite 
reasonable  to  suppose  that  he  would  commission  Mr.  Wright  to  design  for  him  what  was 
actually  nothing  more  than  an  assayer ’s  stamp. 

It  is  not  probable  that  Mr.  Humbert  thought  he  was  to  affix  his  stamp  to  coins, 
nor  is  there  anything  in  the  Act  authorizing  the  establishment  of  the  United  States 
Assay  Office  at  San  Francisco  to  lead  one  to  believe  that  an  issue  of  coins  was  contem- 
plated. The  establishment  was  created  simply  for  the  purpose  of  smelting  and  assaying 
raw  gold,  running  the  same  into  ingots  upon  which  the  United  States  Assayer  should 
place  his  stamp,  certifying  that  the  particular  ingot  in  question  possessed  a certain 
weight ; that  it  contained  gold  of  a certain  fineness,  and  that  its  intrinsic  value  at  the 
prevailing  market  rate  was  a definite  sum  marked  upon  its  face  in  dollars  and  cents. 

The  existence  of  two  bronze  pattern  pieces  bears  out  this  contention,  as  indeed  do 
the  first  issues  of  the  octagonal  ingots  at  the  United  States  Assay  Office  in  San  Fran- 
cisco in  1851.  The  first  of  these  was  of  the  design  known  as  the  lettered  edge  variety, 
but  at  the  bottom  was  inscribed  d c dwt.  grs.  At  the  top  the  label  bore  the 


54 


PRIVATE  GOLD  COINAGE. 


inscription  thous.  the  degree  of  fineness  thus  being  left  blank.  It  would  seem 
from  this  pattern  piece  that  the  original  intention  of  the  makers  of  the  octagonal  ingots 
was  to  strike  a certain  number  of  pieces  from  one  melting,  to  stamp  upon  each  at  the 
top,  along  side  of  the  word  thous.  the  degree  of  fineness,  and  at  the  bottom  to  punch 
the  value  in  dollars  and  cents,  and  the  weight  in  pennyweights  and  grains.  The  edge  of 
this  pattern  was  lettered,  several  errors  being  made,  as  follows : “ Augustus  umbert 

ASSAYER  OF  GOLD  CALFORNIA  UNITED  STATES.  1 85 1.  Wright  fee.”  The  H was  left 
off  the  name  of  Humbert  and  the  first  i omitted  from  California. 

The  same  design  could  have  answered  very  well  for  the  purpose  of  striking  the 
One-hundred  and  Two-hundred  Dollar  gold  pieces,  to  which  reference  is  made  elsewhere, 
although  no  gold  piece  of  any  denomination  is  known  to  be  in  existence,  which  has 
features  of  design  similar  to  the  above-described  pattern  coin,  and  the  inscription 
d c DWT.  GRS. 

The  first  octagonal  Fifty  Dollar  ingot  shows  the  d c,  the  last  letter  of  which  cer- 
tainly did  not  stand  for  California , as  has  been  stated,  but  for  Cents , and  a close 
scrutiny  of  the  earlier  issues  will  show  that  the  digits  50  beside  the  d c were  made 
with  a punch,  and  there  is  one  variety  of  the  Fifty  Dollar  piece  which  shows  the  fine- 
ness, 880,  struck  with  a punch  alongside  the  word  thous. 

The  dies  for  the  Fifty  Dollar  ingots  of  the  later  variety,  showing  the  denomination 
in  letters,  as  fifty  dolls,  and  dated  1851  and  1852,  were  all  engraved  by  Albert  Kiiner 
of  San  Francisco,  and  the  value  is  engraved  in  the  die.  It  is  not  known  who  made  the 
dies  for  the  $ 10  and  $20  pieces  of  the  United  States  Assay  Office,  although  Mr.  Kiiner 
informed  a friend  that  they  were  not  executed  by  him. 

While  many  references  to  the  Fifty  Dollar  octagonal  piece  as  a coin  have  been 
made  in  recent  years,  still  it  was  rarely  so  called  in  the  pioneer  days.  The  name  of 
ingot,  given  to  it  in  the  Act  authorizing  its  issue,  clung  to  the  piece  through  all  the 
period  it  was  made,  although  various  other  terms  were  applied  to  it  in  common  parlance, 
such  as  “golden  adobe,”  “quintuple  eagle,”  “slug,”  and  “five-eagle”  piece.  During 
the  active  discussion  which  took  place  in  the  California  newspapers  in  the  Fall  of  1852, 
after  the  repudiation  of  the  Fifty  Dollar  piece  by  the  Custom  House  authorities,  it  was 
almost  invariably  referred  to  as  an  “ingot.” 

The  term  “slug”  originated  with  the  Moffat  & Co.  and  F.  D.  Kohler  rectangular 
pieces.  Kohler  was  the  first  to  strike  a real  Fifty  Dollar  “ slug,”  and  pieces  bearing 
his  stamp  had  a general  currency  throughout  California  long  before  the  issue  of  the 
octagonal  ingots  by  the  United  States  Assay  Office. 

13  — Fifty  Dollars.  Obverse , An  eagle,  as  on  11,  but  the  label  above  has  887  thous.  and  the 
ends  are  folded  under.  Below  the  eagle  fifty  dolls.  The  field  outside  the  circle  is  depressed,  and 
has  the  legend  Augustus  Humbert  united  states  assayer  of  gold  California  and  1851  at  the 
base.  Border  beaded.  Reverse , Engine-turned.  Edge  reeded.  Octagonal. 

1 4 — Fifty  Dollars.  Obverse  and  Reverse  the  same  as  1 3,  but  the  fineness  is  880  thous.  Edge 
reeded.  Octagonal. 

1852. 

1 5 — Fifty  Dollars.  Obverse  and  Reverse , As  13,  but  from  entirely  different  dies.  Fineness  887 
thous.  ; the  ends  of  the  label  turned  outward.  Edge  reeded.  Octagonal. 


MOFFAT  & CO.,  SAN  FRANCISCO. 


55 


16 — Ten  Dollars.  Obverse , Head  of  Liberty  to  the  left,  surrounded  by  thirteen  stars.  On  the 
coronet,  MOFFAT  & co.  Below  is  the  date,  1852.  Reverse , An  eagle  holding  a scroll,  upon  which  is 
880  thous.  This  eagle  is  the  same  as  that  used  by  Augustus  Humbert  on  pieces  of  different  denomi- 
nations. Around  the  border  is  the  inscription  264  grs.  California  gold  ten  d. 

This  Ten  Dollar  piece  is  that  issued  by  Moffat  & Co.  in  response  to  the  petition 
by  San  Francisco  business  men  to  strike  $ 300,000  worth  of  their  private  coin.  From 
the  edge  inscription  it  would  seem  that  the  firm  had  in  mind  the  opinion  of  Eckfeldt  and 
Du  Bois,  who  stated  in  one  of  their  reports  that  a coin  struck  in  California  gold,  in  order 
to  have  the  value  of  ten  dollars,  should  weigh  264  grains. 

17 — Twenty  Dollars.  Obverse , The  same  eagle  as  that  borne  by  the  Fifty  Dollar  piece,  except 
that  instead  of  arrows  an  olive  branch  is  held  in  the  left  talon.  Around  the  border  united  states  of 
America.  Below  is  the  denomination  twenty  dols.  On  a scroll  above  the  eagle  is  884  thous. 
Reverse , Engine-turned,  inclosing  a rectangular  tablet  across  the  centre,  upon  which,  in  four  lines, 
AUGUSTUS  HUMBERT  | UNITED  STATES  ASSAYER  | OF  GOLD  CALIFORNIA.  | 1852.  Tile  border  is  beaded 
and  the  edge  reeded. 

This  was  the  first  Twenty  Dollar  piece  from  the  United  States  Assay  Office.  The 
date  is  struck  over  1851.  It  is  said  that  but  six  of  these  pieces  are  known.  There  is 
little  doubt  that  the  foregoing  variety  is  quite  rare.  When  permission  was  asked  to  strike 
pieces  of  a less  denomination  than  $50  in  1851,  the  Assayer  doubtless  thought  that  it 
would  be  readily  granted.  It  is  therefore  reasonable  to  suppose  that  he  soon  took  steps 
to  have  dies  made  for  the  new  denominations,  and  it  is  not  unlikely  that  long  before 
1851  ended  the  United  States  Assayer  was  in  possession  of  dies  bearing  that  date. 

When  the  permission  was  given  in  December,  1851,  and  then  almost  immediately 
withdrawn,  it  is  reasonable  to  suppose  that  no  further  steps  were  taken  for  making 
new  dies.  When  the  long-delayed  permission  was  finally  granted,  Feb.  11,  1852,  the 
contractors,  in  order  to  begin  coinage  immediately,  and  to  facilitate  matters,  undoubtedly 
instructed  the  engraver  to  sink  a figure  2 over  the  1,  in  1851.  That  the  coinage  from 
these  dies  was  extremely  limited  and  lasted  only  a short  time,  is  evident  from  the  fact 
that  the  firm  of  Moffat  & Co.  dissolved  almost  immediately  after  the  permission  to  issue 
£10  and  $20  pieces  had  been  received,  the  dissolution  being  announced  on  Feb.  16. 
The  newly  organized  firm  naturally  wished  to  issue  coins  bearing  their  distinctive 
stamp  immediately,  and  such  pieces,  with  the  stamp  of  the  “United  States  Assay 
Office  of  Gold  ” very  soon  made  their  appearance. 

18 — Ten  Dollars.  Obverse  and  Reverse , The  designs  are  the  same  as  the  Twenty  Dollar  piece, 
but  the  obverse  inscription  reads  united  states  of  America  ten  dols.  The  fineness,  like  that  of 
the  Ten  Dollar  piece,  reads  884  thous. 

This  is  the  first  Ten  Dollar  piece  struck  at  the  United  States  Assay  Office. 

UNITED  STATES  ASSAY  OFFICE  OF  GOLD. 

1852. 

(CURTIS,  PERRY  & WARD.) 

Here  lies  the  dividing  line  between  the  coin  issued  by  the  United  States  Assay 
Office  under  Moffat  & Co.,  as  contractors,  and  the  newly  organized  firm  of  Curtis,  Perry 
& Ward,  and  it  is  safe  to  place  all  the  coins  with  the  legend  “ United  States  Assay 
Office  of  Gold,  San  Francisco,  Cal.”  under  the  latter  regime. 


56 


PRIVATE  GOLD  COINAGE. 


19 — Fifty  Dollars.  Obverse , The  central  device  is  an  eagle  holding  a ribbon  in  beak,  similar  to 
that  of  1851,  but  around  the  border  is  united  states  assay  office  of  gold,  san  Francisco, 
California.  Above  the  eagle,  on  a label  with  ends  folded  under,  887  tiious.  Reverse , Engine- 
turned.  Edge  reeded. 

This  is  an  entirely  different  die  from  the  one  of  similar  fineness  described  under 
No.  13. 

20  — Fifty  Dollars.  Obverse,  Similar  to  19,  but  from  an  entirely  different  die.  The  fineness  is 
900  thous.  and  the  ends  of  the  label  are  turned  outward.  Reverse , Engine-turned.  Edge  reeded. 

21  — Ten  Dollars.  Obverse , The  usual  eagle,  but  with  an  olive  branch  in  the  left  talon.  Legend, 
united  states  of  America  ten  dols.  Across  the  label  above  the  eagle  884  thous.  Reverse,  In 
four  lines  across  the  tablet  is  the  inscription : united  states  assay  | office  of  gold  san  | Francisco 
California  | 1 852.  Above  and  below  the  inscription  the  surface  is  engine-turned. 

* 853. 

22  — Twenty  Dollars.  Obverse  and  Reverse,  Inscriptions  and  designs  the  same  as  on  the  Ten 
Dollar  piece  of  1852,  with  the  difference  in  date  and  denomination.  The  fineness  reads  884  thous. 
Edge  reeded.  This  is  a very  scarce  variety. 

23  — Twenty  Dollars.  Same  design  as  the  foregoing,  but  the  fineness  reads  900  thous. 

24 — Ten  Dollars.  Same  design  as  last,  but  with  different  denomination.  Fineness  on  label 
900  THOUS. 

25  — Ten  Dollars.  Same  design  as  24,  but  fineness  884  thous. 

26  — Twenty  Dollars.  Obverse , Head  of  Liberty  to  the  left,  surrounded  by  thirteen  stars ; the 
date,  1853,  below.  On  the  coronet  is  MOFFAT  & co.  Reverse,  A close  imitation  of  that  of  the  regular 
United  States  Double  Eagle,  with  shield  on  breast,  a scroll  at  either  side,  and  the  radiation  and  thir- 
teen stars  above.  The  eagle  grasps  three  short  arrows.  The  border  is  beaded  and  the  edge  reeded. 

This  was  the  last  coin  struck  bearing  the  stamp  of  Moffat  & Co.,  and  of  course 
was  issued  after  the  withdrawal  of  Mr.  Moffat  from  the  firm  conducting  the  United 
States  Assay  Office. 

The  first  of  the  Twenty  Dollar  gold-pieces  issued  by  the  firm  of  Moffat  & Co  , 
after  its  separation  from  the  United  States  Assay  Office,  seems  to  have  been  struck  in 
the  latter  part  of  July,  1853,  according  to  the  following,  from  “Daily  Alta  California,” 
July  26,  1853  : 

Moffat  & Co.’s  Assay  Office.  — The  new  double  eagles  lately  issued  by  this  firm  are 
attracting  much  admiration  for  their  beautiful  workmanship.  The  coin  is  a fac-simile  of  that 
struck  by  the  United  States  Mint,  with  the  exception  that  the  head  instead  of  bearing  the  motto 
liberty  has  mokfat  & co.  As  regards  design  and  finish  the  piece  is  scarcely  inferior  to  the 
issues  of  the  Mint,  and  reflects  great  credit  upon  Messrs.  Moffat  & Co.’s  taste,  enterprise,  and 
artistical  skill. 

This  is  the  last  obtainable  record  of  the  private  mint  of  Moffat  & Co. 
But  little  information  concerning  the  operations  of  Mr.  Moffat  after  his  retire- 
ment from  the  Assay  Office  seems  to  be  available. 


PRIVATE  GOLD  COINAGE,  MOFFAT  & CO. 


PRIVATE  GOLD  COINAGE. 


III. 


VARIOUS 

CALIFORNIAN  PRIVATE  MINTS. 

1849-55. 


BY 

EDGAR  H.  ADAMS. 


NEW  YORK. 
1912. 


REPRINTED  FROM 

THE  AMERICAN  JOURNAL  OF  NUMISMATICS. 
1912. 


Copyright,  1912, 
Edgar  H.  Adams. 


III. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS, 

1849-1855. 


Although  the  pieces  struck  by  Moffat  & Co.  and  their  business  suc- 
cessors probably  exceeded  both  in  number  and  value  those  of  any  of  their 
competitors,  there  were  several  other  Californian  concerns  engaged  in  the 
production  of  private  coinage.  At  this  distance  of  time,  and  because  of 
the  destruction  of  most  of  the  original  sources  of  information,  it  is  impossible 
to  determine  which  of  these  firms  is  entitled  to  claim  priority,  although  careful 
researches  have  been  made  through  the  newspapers  of  the  period,  contem- 
porary letters  and  documents,  and  indeed  in  every  other  direction  accessible 
to  the  writer,  which  seemed  to  offer  a possible  clue.  What  has  been  learned 
is  given  in  this  chapter,  but  before  taking  up  the  story  of  these  various  firms 
and  “ Companies,”  we  will  mention  several  other  Moffat  issues  which  were 
omitted  in  the  previous  chapter. 

8A  — Ten  Dollars.  Obverse,  Same  as  obverse  of  8.  Reverse,  ten  d.  This  variety  is  shown 
on  the  plate  of  Moffat  & Co.’s  coins  over  No.  8.  An  illustration  of  No.  8,  with  ten  ool.  on  the 
reverse,  will  be  shown  over  its  proper  number  on  another  plate. 

1 1 A — Fifty  Dollars.  Obverse,  Same  as  obverse  of  ii.  Reverse,  Similar,  but  from  an  entirely 
different  die,  which  is  striking  enough  to  warrant  giving  the  piece  a separace  number. 

This  coin  is  in  the  collection  of  Charles  Gregory  of  New  York  City,  to  whom  our 
thanks  are  due  for  his  kindness  in  loaning  it,  and  also  a number  of  other  California 
gold  pieces  for  illustration. 

nB  — Fifty  Dollars.  Obverse,  Same  as  obverse  of  it;  the  50  omitted  from  the  reverse. 
Octagonal. 

12A  — Fifty  Dollars.  Obverse,  Same  as  obverse  of  12,  with  fineness  887  thous.  Reverse, 
Same  as  reverse  of  1 1,  with  50  in  centre  of  engine-turning.  Octagonal. 

Ten  would  seem  to  represent  the  total  number  of  the  varieties  of  the 
octagonal  Fifty  Dollar  “ slug.”  Charles  H.  Shinkle  of  Pittsburgh,  who  has 
made  a special  study  of  the  Fifty  Dollar  pieces,  states  that  he  has  examined 


PRIVATE  GOLD  COINAGE. 


58 

more  than  a hundred  of  them,  as  many  as  twenty-five  and  thirty  at  a time, 
but  could  not  find  more  varieties  than  given  here. 

The  dissolution  of  the  firm  of  Moffat  & Co.  took  place  earlier  than  was 
stated  in  the  account  of  the  mint  of  Moffat  & Co.,  according  to  an  advertise- 
ment in  the  San  Francisco  “ Daily  Alta  California,”  of  Feb.  12,  1852,  which 
apparently  had  been  running  since  Dec.  24,  1851.  For  this  information, 
which  seems  quite  important  in  this  connection,  we  are  indebted  to  John  L. 
Hitchcock  of  San  Francisco. 

Copartnership  Notice.  — The  firm  heretofore  known  and  existing 
under  the  name  and  style  of  Moffat  & Co.  is  this  day  dissolved  by  mutual 
consent,  the  entire  interest  of  the  special  partner,  John  L.  Moffat,  having 
been  purchased  by  the  remaining  partners,  who  have  the  right  to  use  the 
name  of  Moffat  & Co. 

John  L.  Moffat, 

Joseph  R.  Curtis, 

By  his  attorney  in  fact,  Samuel  H.  Ward, 

Philo  H.  Perry, 

Samuel  H.  Ward. 

San  Francisco , December  24th,  1851. 

The  firm  will  hereafter  consist  of  the  undersigned  remaining  partners, 
and  its  business  until  further  notice,  will  be  conducted  under  the  name  and 
style  of  Moffat  & Co. 

Joseph  R.  Curtis, 

Philo  H.  Perry, 

Samuel  H.  Ward. 

San  Francisco , December  24th,  1851. 

As  the  remaining  partners  thus  had  the  right  to  use  the  title  of  “ Moffat 
& Co.,”  the  assumption  that  John  L.  Moffat  continued  in  the  assay  business 
after  the  date  of  his  separation  from  the  United  States  Assay  Office  may  be 
wrong;  and  if  so,  then  the  $20  piece  of  1853  (No.  26),  may  have  been  issued 
by  the  firm  of  Curtis,  Perry  & Ward.  Just  what  reason  they  could  have  had 
for  the  striking  of  a piece  bearing  their  private  stamp  at  a time  when  the 
United  States  Assay  Office  was  in  full  operation,  and  when  pieces  of  that 
stamp  of  $20  denomination  were  being  made,  is  not  however  apparent. 

THE  PACIFIC  COMPANY,  SAN  FRANCISCO. 

1849. 

From  what  information  can  be  gained,  the  coins  bearing  the  stamp  of  the 
“Pacific  Company”  were  produced  by  the  coining  firm  of  Broderick  Sc 
Kohler,  sometimes  referred  to  as  F.  D.  Kohler  Sc  Co.,  composed  of  David 
C.  Broderick,  afterward  United  States  Senator  from  California,  and  one  of 
that  State’s  chief  citizens,  and  Frederick  D.  Kohler,  the  first  Chief  Engineer 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


59 


of  San  Francisco’s  Fire  Department,  and  the  only  California  State  Assayer. 
One  authority  states  that : 

There  was  a lack  of  coin  on  the  Coast,  and  a considerable  time  was  required  to  get  it 
from  the  East,  so  it  was  proposed  to  form  a company  to  assay  and  coin  gold.  Frederick  D. 
Kohler  was  selected  as  the  assayer,  and  Broderick  was  made  his  associate.  They  coined  Five 
and  Ten  Dollar  pieces,  and  it  is  said  the  profit  upon  these  coins,  which  contained  only  $4  and 
$8  respectively,  and  upon  the  gold  purchased  at  $14  per  ounce,  was  so  great  that  they  were 
soon  enabled  to  retire,  and  in  the  Fall  of  1849  the  firm  sold  the  business. 

Here  is  another  reference  to  this  firm  : 

In  April,  1849,  a party  of  eleven  New  Yorkers,  consisting  of  D.  C.  Broderick,  F.  D. 
Kohler,  George  W.  Green,  William  McKibbin,  Dr.  Carpenter,  Jacob  Howe,  Michael  Phelan, 
and  four  others,  organized  themselves  into  a company  styled  the  ‘ Republic  Company,’  em- 
barked for  California,  via  Panama,  and  reached  San  Francisco  in  June.  Then  each  member 
of  the  company  followed  the  line  of  business  in  which  he  had  an  interest,  quite  a number  going 
to  the  mines. 

There  was  a great  need  of  coin  or  ingots  to  act  as  currency  to  take  the  place  of  gold-dust, 
suitable  for  transmission  abroad,  and  Kohler,  who  was  an  assayer,  as  well  as  a jeweler,  and 
Col.  Jonathan  D.  Stevenson  [who  commanded  the  First  Regiment  of  New  York  Volunteers  in 
the  Mexican  War],  a leading  figure  in  San  Francisco  in  those  days,  a friend  of  Kohler,  told  the 
latter  that  a number  of  Englishmen,  among  them  being  skilled  assayers,  had  consulted  with  Col. 
Stevenson  and  San  Francisco  merchants  as  to  the  possibility  of  starting  an  assaying  estab- 
lishment, and  of  coining  gold  pieces  that  should  pass  in  lieu  of  gold-dust.  Kohler  made  a 
number  of  assays,  and  he  was  chosen  for  the  purpose  and  backed  by  ample  capital  to  embark  in 
the  enterprise.  He  and  Broderick  entered  a partnership  for  the  conduct  of  the  assaying  busi- 
ness under  the  title  of  Broderick  & Kohler.  Broderick  knew  absolutely  nothing  about  the 
assaying  business,  but  he  had  many  friends  willing  to  assist  him  with  capital. 

The  firm,  says  another  authority,  “ coined  Five  and  Ten  Dollar  pieces, 
which  passed  equally  current  with  United  States  coinage,  and  yielded  a hand- 
some profit  of  about  twenty-five  per  cent,  on  the  value  of  each  dollar  coined, 
reckoning  gold-dust  at  $20  per  ounce,  which  was  further  increased  by  the 
purchase  of  the  dust  at  $j6  per  ounce.  The  partnership  continued  until 
Broderick’s  election  to  the  State  Senate  in  January,  1850,  when  the  firm  sold 
out  to  Baldwin.” 

Still  another  account  says  : 

Broderick  & Kohler  entered  a co-partnership  to  make  coin  out  of  gold-dust.  After  melt- 
ing the  dust  and  pounding  it  into  bars  in  various  sizes,  ranging  in  value  from  $5  to  $50, 
they  stamped  the  pieces  of  gold  with  the  firm  name  of  Broderick  & Kohler.  They  carried  on 
their  business  in  a little  shanty  which  they  built  opposite  the  Plaza,  on  Clay  Street,  above 
Kearny.  This  was  the  first  mint  of  San  Francisco.  The  coin  turned  out  of  this  establishment 
was  always  found  to  be  worth  just  as  much  as  was  represented,  and  in  many  instances,  when 
the  bars  were  weighed,  it  was  discovered  that  they  contained  more  gold  than  the  acknowledged 
value  of  the  coin. 


60  PRIVATE  GOLD  COINAGE. 

Another  reference  to  the  firm  of  Broderick  & Kohler  states: 

The  firm  of  Kohler  & Co.  engaged  in  business  in  Clay  Street,  opposite  the  Plaza,  melt- 
ing, assaying,  and  manufacturing  coin.  Shortly  after,  they  commenced  the  manufacture  of 
jewelry,  being  among  the  first  in  this  State.  The  part  in  which  Mr.  Broderick  officiated  was  at 
the  stamping  press  and  using  the  sledge-hammer  when  necessary,  which  was  not  very  infre- 
quent. He  was  constantly  very  arduously  at  work,  very  often  from  daylight  to  midnight,  from 
the  time  of  the  formation  of  the  firm  up  to  the  time  he  was  elected  to  represent  San  Francisco 
County  in  the  Senate  of  the  State,  which  was  in  January,  1850. 

Still  another  account  reads  : 

Broderick  met  some  former  friends  on  the  coast  in  the  Spring  of  1849,  and,  as  there  was 
a lack  of  coin  on  the  coast,  and  several  months  being  required  to  procure  it  from  the  East,  it 
was  proposed  to  form  a company  to  assay  and  coin  gold.  Frederick  I).  Kohler  was  selected 
for  the  assayer,  and  Broderick  became  his  associate,  performing  the  severe  manual  labor  re- 
quired. They  coined  so-called  Five  and  'l'en  Dollar  pieces,  and  the  profits  upon  these  coins, 
which  contained  only  four  dollars  and  eight  dollars  respectively,  and  upon  the  gold  purchased 
at  $14  per  ounce,  soon  placed  Broderick  in  good  circumstances,  and  laid  the  foundation  for  a 
fortune  large  for  those  times.  In  the  Autumn  of  1849  the  firm  sold  the  business  and  Broderick 
began  to  think  of  returning  to  politics. 

When  the  announcement  of  the  death  of  Kohler  was  published  in  the 
“ Daily  Alta  California  ” of  Dec.  7,  1864,  it  stated : “ He  entered  into  partner- 
ship with  the  lamented  Broderick  in  the  business  of  assaying  gold,  stamping 
bars,  and  coining  ‘ slugs,’  the  office  occupied  by  the  firm  being  on  Clay- 
Street,  opposite  the  Plaza.  Some  of  the  $10  stamped  bars  issued  by  this 
firm  were  shown  us  this  morning.  He  left  three  sons.” 

These  extracts,  which  furnish  a good  illustration  of  the  difficulty  of  find- 
ing the  facts  in  a mass  of  contradictory  evidence,  contain  some  accurate 
statements  and  very  many  inaccurate  ones.  While  the  plant  of  Broderick  & 
Kohler  was  not  sold  immediately  after  Broderick’s  election  to  the  State 
Senate,  still  it  was  sold  to  Baldwin  & Co.  But  this  was  for  the  reason  that 
Kohler  had  been  appointed  State  Assayer  of  California,  and  he  discon- 
tinued his  private  business  in  order  to  take  up  his  new  duties.  It  is  probable 
that  the  Fifty  Dollar  pieces  attributed  to  them  in  the  citations  above  were  not 
issued  under  the  auspices  of  the  firm  of  Broderick  & Kohler,  but  that  the 
writers  had  in  mind  the  slugs  of  the  State  Assay  Office.  The  office  was,  it  is 
true,  located  on  Clay  Street,  opposite  the  Plaza. 

Broderick  & Kohler  bought  many  pieces  of  San  Francisco  real  estate 
from  November  19,  1849,  up  to  and  including  January  3,  1850,  under  the  firm 
name;  after  that  date  the  name  of  D.  C.  Broderick  alone  is  found  in  connec- 
tion with  similar  purchases,  that  of  Kohler  not  appearing  again  in  connection 
with  such  transactions. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


6 1 


Broderick  and  Kohler  were  old  firemen,  the  former  having  been  a 
member  of  Howard  Engine  Company,  No.  34,  of  New  York,  and  Kohler  an 
assistant  engineer  of  the  old  New  York  Volunteer  Fire  Department,  and  a 
member  of  Protection  Engine  No.  5.  The  business  of  Kohler  in  New  York 
City  was  that  of  a jeweler,  while  Broderick  was  an  expert  stone-cutter. 
Broderick  was  born  in  Washington,  D.  C.,  in  1819,  and  Kohler  on  Staten 
Island  in  1810. 

It  is  quite  probable  that  the  coins  of  the  Pacific  Company  were  hand- 
struck,  which  explains  the  reference  above  to  Broderick’s  arduous  labors  with 
the  sledge-hammer.  This  method  was  utilized  at  some  of  the  other  private 
mints,  such,  for  instance,  as  that  of  the  Ormsby  establishment,  which  operated 
at  Sacramento  at  about  the  same  time.  At  the  1884  Levick  sale  a Ten  Dollar 
gold-piece  of  the  Pacific  Company,  rudely  struck,  but  in  fine  condition,  would 
seem,  judging  from  the  photograph,  to  have  been  produced  by  a blow  of  the 
hammer. 

Taking  into  consideration  all  the  circumstances,  it  seems  almost  certain 
that  the  Pacific  Company  coins  were  made  by  Broderick  & Kohler.  This 
firm  undoubtedly  struck  P'ive  and  d en  Dollar  pieces,  yet  there  is  no  specimen 
known  showing  either  the  name  of  Broderick  & Kohler  or  F.  D.  Kohler  & Co. 
No  coins  of  the  California  series,  except  those  of  the  Pacific  Company,  were 
of  a value  approximate  to  $4  and  $8  for  the  Five  and  Ten  Dollar  pieces, 
and  the  origin  of  the  other  coins  of  1849  has  been  settled  with  reasonable 
certainty. 

Kohler,  being  a jeweler,  as  already  mentioned,  could  very  well  have 
engraved  the  dies  for  the  coins,  the  design  of  which  was  particularly  appro- 
priate when  it  is  remembered  that  California  had  just  come  from  under 
Mexican  control,  for  it  showed  the  radiated  Mexican  liberty  cap  on  one  side 
and  the  American  eagle  on  the  other. 

27 — Ten  Dollars.  Obverse , An  eagle,  with  outspread  wings,  its  head  turned  defiantly  to  the 
left;  the  talons  hold  an  olive  branch.  Around  the  border  pacific  company,  California.  Below  is 
the  date  in  large  figures,  1849-  Reverse , In  the  centre  of  the  field,  a liberty  cap,  from  which  spring 
ten  radiations,  between  each  of  which  are  three  stars,  making  a total  of  thirty.  Below  is  the  denomi- 
nation, 10  dollars  the  figures  being  large  and  out  of  proportion  to  the  word  dollars. 

An  assay  at  the  United  States  Mint  of  a Ten  Dollar  piece  of  this  Company  showed 
it  to  weigh  229  grains,  with  a fineness  of  .797,  and  an  intrinsic  value  of  $7.86  ; it  thus 
enjoys  the  distinction  of  being  the  least  valuable  of  all  the  varieties  of  Ten  Dollar  pieces 
ever  struck  by  private  persons  in  this  country,  making  the  much  condemned  Baldwin 
Ten  Dollar  piece  stand  out  as  the  acme  of  purity  in  contrast. 

Notwithstanding  its  low  intrinsic  worth,  this  piece  now  commands  an  excessively 
high  fictitious  value,  which  has  steadily  advanced.  In  1884,  at  the  Levick  sale,  a rudely 


62 


PRIVATE  GOLD  COINAGE. 


struck  but  otherwise  fine  specimen  brought  $22;  at  a Chapman  sale,  April  6-9,  1886, 
one  with  milled  edge  and  in  fine  condition  was  sold  for  an  unknown  figure,  while  the  last 
to  be  disposed  of,  at  the  Elwcll  sale,  held  by  Low,  July  15-16,  1903,  an  uncirculated 
example  with  milled  edge,  said  to  have  come  from  Cuba,  brought  $420.  Virgil  M. 
Brand  has  a specimen,  and  there  is  also  one  in  the  Philadelphia  Mint  cabinet. 

28  — Five  Dollars.  Obverse  and  Reverse , Similar  to  those  of  the  last,  but  the  date,  1849,  is  not 
so  large  in  proportion,  and  is  more  in  harmony  with  the  rest  of  the  inscription.  This  may  also  be  said 
of  the  denomination  on  the  reverse,  the  5 and  dollars  being  of  almost  equal  size. 

This  piece  was  the  lowest  in  value  of  any  of  the  pioneer  gold.  It  weighed  130 
grains,  of  a fineness  of  .797,  and  an  intrinsic  value  of  $4.48.  Like  the  Ten  Dollar  piece, 
this  fact  has  no  bearing  upon  the  esteem  with  which  it  is  regarded  by  collectors,  it  being 
one  of  the  great  rarities.  Only  three  specimens  are  known,  one  of  which  is  in  the  Mint 
at  Philadelphia  ; Mr.  Brand  has  one,  but  the  whereabouts  of  the  third  is  not  known. 

29  — Dollar.  Olmerse  and  Reverse,  Similar  to  27;  but  value  on  the  reverse  1 dollar. 

This  is  the  rarest  denomination  of  this  very  rare  series.  Only  two  examples  are 
known  — one  being  owned  by  Virgil  M.  Brand,  and  the  other  by  H.  O.  Granberg.  It 
is  not  probable  that  Dollars  of  this  stamp  were  generally  circulated. 


CINCINNATI  MINING  AND  TRADING  COMPANY. 

1849. 

An  exhaustive  search  through  the  files  of  California  newspapers  from 
1848  to  1855  has  failed  to  reveal  any  mention  of  this  Company.  Indeed,  the 
only  reference  to  the  name  was  the  “ Cincinnati  Company,”  mentioned  in 
“Alta  California”  of  November  10,  1851.  It  seems  to  have  been  simply  a 
mining  company,  operating  in  Calaveras  or  Tuolumne  County.  The  Super- 
intendent was  a Mr.  Windier,  and  others  connected  with  the  Company  were 
Messrs.  Buck,  J.  Barkhone,  and  L.  Forstling. 

Almarin  B.  Paul,  of  San  Francisco,  who  conducted  an  extensive  business 
in  Sacramento  in  1849  and  1850,  and  through  whose  hands  passed  many 
of  the  private  issues,  states  that  neither  he  nor  any  of  the  pioneers  with  whom 
he  had  consulted,  remember  seeing  this  Company’s  coins  in  circulation.  It 
is  very  likely  that  those  known  were  simply  trial  pieces,  struck  in  gold,  and 
that  for  some  reason  the  Company  which  contemplated  their  issue  abandoned 
the  plan.  The  design  was  markedly  different  from  those  of  the  other  private 
coins. 

The  By-laws  of  this  Company  were  printed  by  the  Model  Western  Print- 
ing House  of  Cincinnati  in  1849,  and  show  the  organization  to  have  been 
one  of  the  hundreds  of  bodies  of  men  in  various  parts  of  the  country,  who 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


63 


fitted  out  expeditions  for  the  purpose  of  conducting  a general  business  in 
California  in  the  gold-fever  days.  The  full  title  was  given  as  the  “ California 
Mining  and  Trading  Company  of  Cincinnati,  Ohio.”  The  names  of  the 
officers  and  members  follow  : 

J.  H.  Leavering,  President;  W.  B.  Norman,  Vice-President ; David  Kinsey,  Treasurer ; 
Sam.  T.  Jones,  Secretary ; A.  H.  Colton,  Book-keeper ; Jos.  Talbert,  G.  W.  Letter,  L.  M.  Rogers, 
Board  of  Finance , and  J.  Johnson,  S.  Whitehead,  T.  W.  Kinsey,  A.  G.  Kinsey,  M.  West,  G.  J.  Guil- 
ford, H.  Probasco,  C.  Mohr,  E.  A.  Stokes,  C.  Long,  J.  P.  Harley,  P.  K.  Urner,  W.  Kerr,  R.  W.  Cook, 
F.  Moreland,  John  Bell,  R.  L.  Megowan,  F.  Hamlin,  J.  Bird,  Sam.  Withington,  J.  Graham,  Geo.  Mar- 
tin, H.  Ruffner,  J.  W.  Anderson,  J.  D.  Benedict,  A.  T.  Perry,  T.  A.  Bishop,  Chas.  Eberle,  A.  S.  Voor- 
hees,  Christopher  Bell,  W.  Wilson,  A.  F.  Gove,  J.  Pearson,  H.  Urner,  A.  B.  Nixon,  H.  Helm  (died  at 
Savannah),  J.  Elstner,  J.  King,  G.  W.  Fosdick,  W.  B.  Diver,  N.  Graves,  David  Scott,  A.  Johnson, 
Members. 

30 — Ten  Dollars.  Olwerse,  The  bust  of  an  Indian  wearing  a headdress  of  feathers,  and  facing 
to  the  left.  Around  the  border  is  inscribed  Cincinnati  mining  & trading  company.  Reverse , An 
eagle  of  peculiar  shape,  very  slender  in  outline,  facing  to  the  left,  with  outspread  wings  and  upturned 
beak.  The  right  talon  grasps  the  United  States  shield,  the  left  an  olive  branch  and  three  arrows. 
Around  the  border  at  the  top  is  the  inscription  California  ten  dollars.  At  the  bottom  is  the  date, 
1849. 

There  are  four  known  specimens  of  this  piece,  which  weighs  258  grains,  and  has 
an  intrinsic  value  of  $9.70.  One  of  these  is  in  the  Philadelphia  Mint  cabinet,  another 
in  the  collection  of  Virgil  M.  Brand;  a third  was  disposed  of  at  Philadelphia  in  1908, 
and  the  fourth  at  the  Zabriskie  sale  in  1909. 

31 —  Five  Dollars.  Obverse  and  Reverse , As  that  of  the  larger  denomination,  but  the  reverse 
inscription  reads  California  five  dollars. 

The  only  known  specimen  is  in  the  Mint  cabinet  at  Philadelphia.  The  coin  was 
of  such  apparent  rarity,  even  when  the  first  piece  came  to  the  Mint  in  1849,  that  the 
Assayers  did  not  cut  it  for  a test.  It  weighed,  however,  132  grains,  and  its  intrinsic 
value  as  estimated  by  them  was  $4.95. 


J.  S.  ORMSBY  & COMPANY,  SACRAMENTO. 

1849. 

The  minting  firm  of  Ormsby  & Co.  was  composed  of  Dr.  J.  S.  Ormsby 
(said  to  have  come  from  Pennsylvania)  and  Major  William  M.  Ormsby,  who 
in  1860  was  killed  in  a battle  with  the  Indians  at  Winnemucca,  Nev.  Ormsby 
County,  Nev.,  is  named  after  him. 

Early  in  the  summer  of  1849  the  firm  opened  a gold-smelting  and  coining 
establishment  on  K Street,  in  Sacramento.  From  their  proximity  to  the 
gold-workings  along  the  upper  Sacramento  and  American  Rivers,  and  as 
they  were  also  the  nearest  coining  plant  to  the  mines  of  all  the  private  estab- 


64 


PRIVATE  GOLD  COINAGE. 


lishments  of  this  character  then  in  operation  in  California,  Ormsby  & Co.  did 
an  extensive  business  and  turned  out  many  coins,  although  specimens  of  their 
work  are  now  extremely  rare. 

While  one  of  the  California  historians  has  stated  that  some  of  the 
machinery  which  had  been  brought  out  by  different  Trading  Companies 
was  removed  to  San  Francisco  by  the  Ormsbys,  a coining  press  cannot  have 
been  included,  for  all  the  pieces  issued  from  this  mint,  like  some  others  of  the 
private  coins  struck  elsewhere  in  California  during  the  same  period,  were 
made  with  a hammer. 

It  has  been  stated  that  Five  and  Ten  Dollar  gold-pieces  were  struck  at 
this  mint,  but  there  is  no  proof  available  that  coins  of  the  denomination  of 
Five  Dollars  were  made  by  the  Ormsbys.  Neither  is  there  anything  to  show 
that  they  operated  in  1850,  as  has  also  been  stated.  This  however  is  a point 
which  cannot  be  decided  by  reference  to  the  coins  themselves,  for  they  bear 
no  date.  It  is  reasonably  certain  that  they  were  not  struck  earlier  than 
July,  1849. 

The  principal  workman  at  the  Ormsby  mint  was  a dentist,  Dr.  William 
W.  Light.  Dr.  Light  was  a native  of  Bethel,  Clermont  County,  Ohio;  after 
studying  medicine  and  dentistry,  he  left  on  January  1,  1849,  f°r  California, 
reaching  there  in  August.  According  to  Winfield  J.  Davis’s  History  of 
Sacramento  County,  “ he  found  employment  almost  immediately  with  the 
Ormsbys,  who  had  set  up  a mint  and  were  coining  gold.  Not  knowing  how 
to  do  the  annealing,  however,  they  were  making  bad  work  of  it,  and  were 
glad  to  employ  the  doctor  at  $50  a day,  to  superintend  the  work,  but  he 
shortly  after  quit  that  situation  and  went  mining.”  Dr.  Light  was  a member 
of  the  firm  of  Light  and  Pierson,  who  conducted  a dental  business  in  Sacra- 
mento for  a number  of  years. 

The  following  extract,  which  is  taken  from  the  “ San  Jose  Pioneer,” 
of  May  5,  18 77,  written  by  one  of  the  California  pioneers,  may  be  con- 
sidered as  fairly  reliable  in  the  most  of  its  references  to  the  Ormsby  mint, 
and  it  also  contains  some  other  interesting  data  in  connection  with  the  Cali- 
fornia private  coinage : 


In  the  flush  days  of  ’49  gold  was  80  plenty  in  San  Francisco,  Sacramento,  and  other 
towns,  that  its  value  wfas  not  readily  appreciated.  There  was  plenty  of  gold,  but  no  coin. 
This  was  the  basis  of  one  of  the  first  speculations  of  the  country. 

In  the  general  rush  to  California,  consequent  upon  the  discovery  of  gold  at  Sutter’s  saw- 
mill, among  other  machinery  brought  here,  was  a quantity  for  the  purpose  of  coining  the 
precious  metals.  Almost  every  company  crossing  the  plains  or  rounding  the  Horn  brought 
with  them  ample  machinery  for  this  purpose,  and  several  well-known  institutions  of  this  kind 
did  an  extensive  business  in  San  Francisco. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


65 


The  singularly-shaped  block  of  granite  found  buried  in  the  sand  at  the  time  of  the  exca- 
vation for  the  foundation  of  the  California  Market,  some  years  since,  which  is  still  to  be  seen 
at  the  junction  of  Sumner  Street  with  the  market  nearest  Mongomery  Street,  and  which 
excited  so  much  speculation  at  the  time  of  its  discovery,  was  undoubtedly  intended  for  this 
purpose,  and  portions  of  iron-work  designed  for  similar  use  lay  until  within  a few  years  past 
scattered  about  various  portions  of  Sacramento. 

A private  mint  was  established  in  Sacramento  in  1849,  and  continued  during  the  follow- 
ing year  by  J.  S.  Ormsby  & Co.,  the  company  consisting  of  Major  Ormsby,  who  was  killed  by 
the  Indians  in  the  Winnemucca  War,  famous  in  the  early  annals  of  the  State  of  Nevada,  and 
his  brother,  Dr.  Ormsby,  who  some  years  after  represented  the  County  of  Sonoma  in  the  Cali- 
fornia Assembly. 

This  establishment,  which  was  located  on  K Street,  just  below  the  site  of  the  Golden 
Eagle,  did  an  extensive  business,  the  miners  bringing  dust  to  be  coined  forming  a line  and 
awaiting  their  regular  turn.  The  gold  was  melted  here,  and  without  alloy,  as  it  came  from  the 
mine,  cast  into  bars,  rolled  into  strips,  the  rollers  used  for  this  purpose  being  still  in  the 
possession  of  Dr.  Light,  a leading  dental-surgeon  of  Sacramento,  who  was  the  chief  operator  of 
the  establishment  at  a salary  of  $50  per  diem. 

Coins  of  the  denomination  of  $5  and  $10  were  issued,  stamped  with  the  name  of  the 
proprietors,  who  received  a royalty  of  $4  on  every  $20  coined.  It  is  the  opinion  of  the  gentle- 
man named  as  the  chief  operator  of  the  concern,  who  was  the  melter  and  aided  by  an  assist- 
ant rolled  out  the  bullion  and  struck  the  dies  with  a sledge-hammer,  that  the  crucibles  used  in 
melting  the  dust,  and  which  have  long  been  buried  by  the  filling  of  the  street,  contain  a large 
amount  of  gold,  so  wasteful  was  the  operation  and  so  plentiful  the  precious  metals,  in  those 
days  which  constituted  the  flush  time  in  California. 

32  — Ten  Dollars.  Obverse,  Within  a fine  line  drawn  around  the  edge  and  around  the  border  at 
the  top,  united  states  OF  America.  Below  are  the  letters  cal.  On  a straight  line  in  the  centre 
of  the  field  are  the  initials  .j  .s  .0,  with  the  periods  reversed,  an  error  of  the  die-cutter,  who  is  unknown. 
Reverse , A faint  line  around  the  extreme  edge,  immediately  within  which,  and  all  around  the  circle  are 
thirty-one  stars,  close  together,  one  for  each  State  of  the  Union,  California  being  the  thirty-first  State 
to  be  admitted.  The  field  is  perfectly  plain  with  the  exception  of  the  denomination,  which  appears  in 
two  straight  lines,  10  dolls. 

According  to  the  Mint  Assayers  of  1849,  but  few  of  the  pieces  reached  the  Phila- 
delphia Mint,  one  of  which  when  assayed  showed  a fineness  of  .842,  a weight  of  258^ 
grains,  and  an  intrinsic  value  of  $9.3 7. 

It  is  probable  that  there  are  only  three  of  the  Ormsby  Ten  Dollar  pieces  in 
existence  — that  is,  so  far  as  known.  One  of  these  has  been  in  the  cabinet 
of  the  Philadelphia  Mint  for  many  years.  A.  Reimers,  the  well-known  San 
Francisco  collector,  states  that  he  sold  two  specimens  to  the  late  Alexander 
Cartwright  of  Honolulu.  One  of  these  was  a sharply  struck,  perfect  piece, 
while  the  other  was  somewhat  worn.  The  latter,  it  is  thought,  was  the  one 
for  which  the  late  De  Witt  Smith  of  Lee,  Mass.,  paid  $1,310  at  the  sale 
by  Sotheby,  in  London,  in  1907,  of  the  collection  of  Bruce  Cartwright,  son  of 
Alexander.  The  location  of  the  third  piece  is  unknown. 


66 


PRIVATE  GOLD  COINAGE. 


NORRIS,  GRIEG  & NORRIS,  SAN  FRANCISCO. 

1849. 

The  significance  of  the  initials  “ N.  G.  & N.”  is  said  not  to  have  been 
understood  until  the  sale  of  the  coins  of  Augustus  Humbert  in  1902.  Among 
his  effects  was  found  a perfectly  uncirculated  gold-piece  of  this  variety,  wrapped 
in  a sheet  of  paper  bearing  the  words,  “ From  my  friends,  Norris,  Grigg  & 
Norris.” 

The  Mint  Assayers  at  Philadelphia  said  that  the  claim  of  the  coin  to  be 
“ full  weight  ” had  been  substantiated,  but  that  the  inscription  “ Pure  Cali- 
fornia Gold  ” had  a wide  latitude  of  meaning.  No  alloy  had  been  added  to  the 
metal,  according  to  them,  beyond  that  already  introduced  by  the  hand  of 
nature,  which  was  entirely  sufficient,  as  California  gold  was  also  strong  in 
silver.  Three  pieces  which  were  assayed  showed  a fineness  of  .870,  .880, 
and  .892,  which  made  them  worth  respectively  $4.83,  $4.89,  and  $4.95^, 
without  the  silver,  — including  which,  the  coins  were  worth  2^  cents 
more. 

It  is  the  opinion  of  the  writer  that  this  Five  Dollar  piece  was  the  first  to 
be  circulated  in  California.  A close  search  of  the  California  newspapers  of 
1848  and  1849  revealed  but  few  references  to  private  coinage,  among  the 
very  first  of  which  was  the  following  extract  from  the  “Alta  California”  of 
May  31,  1849: 

We  have  in  our  possession  a Five  Dollar  gold  coin,  struck  at  Benicia  City,  though  the 
imprint  is  San  Francisco.  In  general  appearance  it  resembles  the  United  States  coin  of 
the  same  value,  but  it  bears  the  private  stamp  of  Norris,  Grieg  & Norris,  and  is  in  other 
particulars  widely  different. 

Albert  Kiiner  is  credited  with  having  engraved  the  dies  for  this  coin 
— or,  at  least  for  one  bearing  the  stamp  of  Norris,  Grieg  & Norris.  As  he 
was  unusually  painstaking  and  methodical,  it  is  difficult  to  imagine  that  he  was 
wrong  when  he  stated  that  he  had  engraved  the  dies.  One  would  rather 
think  that  there  had  been  another  variety.  As  Mr.  Kiiner  did  not  arrive  in 
San  Francisco  until  July  16,  1849,  he  could  not  have  engraved  the  dies  in 
question.  It  is  well  known  that  the  Five  Dollar  piece  of  Norris,  Grieg  & 
Norris  is  entirely  and  radically  different  in  design  from  any  coin  ever  produced 
at  the  United  States  Mint.  The  only  resemblance  would  be  in  the  size.  We 
may  reasonably  assume  that  the  correct  spelling  of  the  name  of  the  second 
member  of  the  firm  should  be  Grieg,  as  given  in  the  newspaper  of  1849, 
rather  than  Grigg,  as  spelled  on  the  wrapper  of  Humbert’s  coin. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


67 


33  — Five  Dollars.  Obverse , In  the  field  an  eagle  facing  to  the  front,  with  expanded  wings,  but 
with  head  turned  to  the  left;  a shield  on  its  breast  bears  the  figure  5 ; the  talons  grasp  a laurel  branch 
and  three  arrows.  At  the  top  of  the  border,  California  gold  with  a period  at  each  end,  and  below 
are  the  words  without  alloy.  Reverse,  A circle  of  twenty-two  stars,  inside  of  which  and  at  the  top, 
are  the  initials  N.  G.  & N. ; in  a curved  line  at  the  bottom,  also  within  the  circle,  san  Francisco. 
In  the  centre,  on  a straight  line,  is  the  date,  1849.  Outside  the  circle,  and  around  the  border,  at  the 
top,  full  weight  of  with  a period  at  either  end ; below,  around  the  border,  half  eagle.  Reeded 
edge. 

34  — Five  Dollars.  Same  as  33,  but  plain  edge. 


TEMPLETON  REID. 

Almost  nothing  is  known  of  the  California  coin  issues  of  Templeton  Reid. 
Research  has  failed  to  show  where  the  plant  was  located,  at  which  was  struck 
the  Ten  and  Twenty-five  Dollar  gold  pieces  bearing  his  stamp.  One  of  the 
early  authorities  states  that  when  gold  was  discovered  in  1849,  Reid  moved 
his  minting  machinery  from  the  scene  of  his  former  coining  operations,  in 
Lumpkin  County,  Georgia,  to  California,  and  began  the  issue  of  gold. 

The  only  proof  extant  that  Reid  carried  out  this  plan  are  the  two  known 
specimens  of  Ten  and  Twenty-five  Dollar  gold  pieces  which  came  to  the 
United  States  Mint  at  Philadelphia  in  1849,  and  which  were  described  by 
Eckfeldt  & Du  Bois,  the  Mint  Assayers,  in  their  book  on  California  private 
coinage  of  1849.  Even  that  solitary  Twenty- five  Dollar  piece,  or  “ half-slug,” 
as  it  was  termed  in  California,  is  not  now  visible,  for  it  was  carried  away  by 
men  who  robbed  the  coin  cabinet  of  the  Philadelphia  Mint  some  years  ago. 

Judging  by  the  meagre  information  available  in  relation  to  the  Reid 
issues,  it  would  almost  seem  as  if  Reid  never  reached  California,  yet  the 
Assayers  stated  that  the  gold  in  the  two  coins  which  first  reached  the  Mint 
indicated  all  the  peculiar  qualities  which  distinguish  the  precious  metal  mined 
in  California.  When  Moffat  & Co.  wrote  their  letter  of  Jan.  28,  1850,  defend- 
ing their  right  to  strike  private  coins  (which  will  be  printed  elsewhere),  they 
pointed  to  Templeton  Reid’s  coining  establishment  of  Georgia  in  1830  as  an 
illustration  of  the  legality  of  such  issues.  They  referred  to  Reid,  “ who  for- 
merly conducted  the  assay  office  in  Georgia,”  but  did  not  make  the  slightest 
allusion  to  the  fact  that  when  they  wrote,  or  shortly  before  (in  1849),  Reid 
had  been  engaged  in  the  conduct  of  a similar  business  in  California.  Such  a 
reference  might  reasonably  have  been  expected  in  this  communication,  had 
Reid  actually  been  in  the  assay  business  in  California  at  the  time,  There  is 
a record  of  an  unnamed  assayer  who  did  business  at  San  Jose  in  1849,  t*ut 
whether  or  not  this  was  Templeton  Reid  has,  so  far,  not  been  ascertained. 

35  — Twenty-five  Dollars.  Obverse , A fine  line  drawn  around  the  border,  inclosing  a wide 
cogged  circle.  Around  the  inside  of  the  circle,  at  the  top,  Templeton  reid,  and  at  the  bottom 
assayer.  A star  between  templeton  and  assayer.  Directly  under  the  inscription  at  the  top,  and 


68 


PRIVATE  GOLD  COINAGE. 


on  a line  with  the  centre,  is  a dollar  mark  ($),  immediately  below  which  were  Roman  numerals  xxv. 
The  centre  of  the  field  perfectly  plain,  but  at  the  bottom,  just  over  the  word  assayer,  was  the  date 
1849.  Reverse , The  same  cogged  circle  as  on  the  obverse,  but  the  fine  border  line  is  omitted.  Inside 
the  circle  at  the  top,  and  curved,  California,  with  a star  in  front.  Below,  and  curving  slightly  upward 
from  one  side  of  the  circle  to  the  other,  twenty-five.  Below,  curving  slightly  downward  from  one 
side  of  the  circle  to  the  other,  dollars,  the  upper  and  lower  inscriptions  forming  an  oval.  Between 
the  two  an  ornament,  and  below,  the  word  gold.' 

The  weight  of  this  piece  was  649  grains,  and  it  had  a probable  intrinsic  value  of 
$24.50,  according  to  the  Mint  Assayers,  who  did  not  assay  it  on  account  of  its  rarity. 

36  — Ten  Dollars.  Obverse , Three  fine  lines  drawn  around  the  border  in  the  form  of  a target, 
but  close  together.  Inside  of  these  lines  and  around  the  circle,  templeton  reid.  At  the  bottom, 
assayer.  In  the  centre  of  the  field,  on  a straight  line,  the  date  1849.  A star  in  front  of  templeton. 
Reverse , Around  the  border  three  lines  as  on  obverse.  Around  the  inner  side  at  the  top,  California 
with  a star  at  either  end.  At  the  bottom,  gold.  In  the  centre,  in  two  lines,  ten  dollars. 

On  account  of  the  great  rarity  of  this  piece  the  Assayers  at  the  Mint  did  not  cut 
it  to  ascertain  its  exact  intrinsic  value.  It  weighed  260  grains,  and  the  officials  stated 
that  if  it  was  what  it  appeared  to  be  — that  is,  struck  from  California  gold  — the  value 
would  be  $9.75.  A specimen  of  this  denomination  is  on  exhibition  at  the  present  time 
at  the  Philadelphia  Mint. 


MASSACHUSETTS  AND  CALIFORNIA  COMPANY. 

But  little  information  regarding  this  Company  can  be  gained.  In  the 
American  Journal  oj  Numismatics  for  January,  1898,  p.  91,  appeared  a 
reprint  from  an  old  paper  of  May,  1849,2  which  stated  that  a party  had  “gone 
from  Northampton,  Mass.,  taking  with  them  a mint,  or,  rather,  all  the  imple- 
ments necessary  for  coining  gold  and  silver,  and  a competent  assayer.”  It  was 
the  intention  to  establish  a private  mint,  buy  gold,  and  coin  it.  It  was  said 
that  the  plant  would  have  a coinage  capacity  of  $10,000  a day.  The  curious 
part  of  the  story  was  that  it  was  “ said  to  have  the  sanction  of  the  Govern- 
ment.” 

From  what  could  be  learned  in  California  the  extract  above  undoubtedly 
referred  to  the  party  which  struck  the  few  coins  bearing  the  stamp  of  the 
Massachusetts  & California  Company.  Letter  heads  having  that  title  are 
still  to  be  found  in  California,  although  data  regarding  its  coinage  are  not 
available.  Frederick  P.  Tracy,  afterward  a prominent  California  lawyer,  was 
Secretary  of  the  Company. 

1 The  description  of  this  Twenty-five  Dollar  piece  illustrations  in  this  work  correspond  closely  with  known 
(No.  35)  is  taken  from  the  engraving  in  Eckfeldt  & originals. 

Du  Bois  “ New  Varieties  of  Gold  and  Silver  Coins,”  2 The  paper  is  not  named,  but  was  probably  one 
issued  in  1851.  It  is  believed  to  be  accurate,  as  other  printed  in  Northampton  or  Springfield,  Mass. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


69 


A long  article  in  regard  to  the  private  gold  coins  of  California,  published 
in  a San  Francisco  paper,  contained  the  statement  that  the  Massachusetts  and 
California  Five  Dollar  piece  was  understood  to  have  been  made  in  the  East. 
This  indeed  would  seem  to  be  the  fact.  From  the  great  scarcity  of  the  gold 
coins  of  this  stamp,  and  the  fact  that  they  were  heavily  debased  with  copper, 
in  contrast  with  the  usual  combination  of  metal  contained  in  the  private  coins 
of  California,  which  had  a strong  percentage  of  silver,  and  little  or  no  copper 
(just  as  the  gold  came  from  the  mines),  it  is  easy  to  believe  that  the  two 
known  gold-pieces  of  this  Company  were  simply  trial  pieces  struck  in  gold. 
If  it  did  not  issue  many  pieces,  it  is  quite  evident  that  it  contemplated  an 
extensive  coinage,  for  there  are  no  less  than  three  distinct  varieties  of  patterns 
of  the  denomination  of  Five  Dollars,  bearing  its  stamp,  and  struck  in  silver 
and  copper.  Only  one  variety  in  gold  has  been  discovered  up  to  the  present 
time,  the  design  of  which  is  : 

37  — Five  Dollars.  Obverse , A shield  bearing  a mounted  vaquero  in  the  act  of  throwing  a lasso. 
Supporters,  on  the  right  a stag,  and  on  the  left  a bear,  both  rampant.  On  a ribbon  scroll  directly 
underneath,  alta.  (upper.)  Crest,  An  arm,  with  the  hand  holding  an  arrow.  Around  the  border  of  the 
field  are  thirteen  stars,  the  whole  forming  a very  handsome  design.  Reverse , In  the  field  a wreath 
inclosing  in  two  lines,  five  d.  Around  the  border  is  the  legend,  Massachusetts  & California 
co.  Below  is  the  date,  1849. 

The  United  States  Assayers  found  but  one  specimen  among  all  the  private  gold- 
pieces  sent  to  the  Mint,  and  this  had  apparently  been  alloyed  with  copper.  Its 
weight  was  1 1 5 J grains.  Only  two  examples  have  been  located,  one  of  these  being  in 
the  collection  of  the  United  States  Mint  at  Philadelphia,  and  the  other  in  that  of  the 
Pioneer  Society  of  California,  now  on  exhibition  at  the  San  Francisco  Mint. 

MINERS’  BANK,  SAN  FRANCISCO. 

In  the  unbound  papers  in  the  Bancroft  Library,  containing  the  Archives 
of  California,  page  326,  appeared  the  following: 

On  Aug.  7,  1849,  Wright  & Co.  asked  permission  to  issue  gold  coins  of  the  denomination 
of  $5  and  $10.  They  are  willing  to  give  bonds  to  any  amount  required  by  the  Collector  of  this 
Port  that  their  coin  shall  be  of  equal  (if  not  more)  value  than  the  coins  of  the  United  States 
Mint.  They  wanted  their  coins  to  be  receivable  in  payment  of  duties,  and  they  said  their 
object  was  to  afford  a circulating  medium  for  business  purposes  in  this  country.  Rejected. 

Early  in  September,  1849,  the  firm  of  Wright  & Co.,  exchange  brokers, 
was  located  at  the  corner  of  Washington  and  Kearny  Streets,  Portsmouth 
Square,  San  Francisco.  In  the  early  part  of  the  following  November,  they 
organized  as  bankers,  the  firm  being  composed  of  Stephen  A.  Wright,  John 


7° 


PRIVATE  GOLD  COINAGE. 


Thompson,  Samuel  W.  Haight,  and  J.  C.  L.  Wadsworth.  The  institution  was 
known  as  the  Miners’  Bank,  and  was  housed  in  a little  wooden  cottage,  for 
which  a yearly  rental  of  $75,000  was  paid.  The  coins  bearing  the  stamp  of 
the  Miners’  Bank  must  therefore  have  been  issued  after  the  beginning 
of  November,  1849. 

Absolute  proof  that  the  Miners’  Bank  Ten  Dollar  piece  was  made  in 
1849  *s  shown  by  the  statement  of  assay  of  one  of  the  pieces  by  William  P. 
Hoit,  Assayer  of  the  New  Orleans  Mint,  dated  Dec.  13,  1849,  in  which  he 
says : 

On  the  1 6th  of  October  I assayed  one  ten-dollar  piece,  coined  at  San  Francisco,  nearly 
a fac-simile  of  the  U.  S.  gold  eagle  (Moffat  & Co.)  ; weight  258  grains;  title  888  millieines  of 
gold,  60  do.  of  silver,  and  the  balance  of  copper;  value  $9.78.  This  is  the  only  coin  in  which 
art  has  been  resorted  to  in  making  an  alloy  that  I have  seen.  Also  on  the  same  day  one  ten- 
dollar  piece  of  the  Miners’  Bank  of  San  Francisco;  stamp  very  different  from  that  of  the  U.  S. ; 
weight  259  grains,  title  866  milliemes  of  gold,  105  do.  of  silver,  value  $9.65. 

Their  issues  met  with  little  favor,  owing  to  their  being  below  their  face 
value,  and  on  Jan.  14,  1850,  the  firm  of  Wright  & Co.  dissolved. 

A letter  to  “Alta  California”  of  April  11,  1850,  says: 

The  issue  of  the  Miners’  Bank  is  a drug  on  the  market.  Brokers  refuse  to  touch  it  at  less 
than  20  per  cent,  discount.  Moffat’s  issue  will  probably  soon  be  no  better ; he  already  refuses  to 
redeem  it  in  American  gold.  Those  who  have  it  would  do  well  to  get  five-franc  pieces  to  the 
dollar,  which  is  really  7 per  cent,  discount  for  it,  at  Moffat’s  counter  now-,  as  it  is  not  impossible 
they  may  refuse  to  pay  even  that  for  it  soon.' 

Only  one  denomination  bears  the  title  of  the  Miners’  Bank,  that  of  Ten 
Dollars,  which  had  the  following  design  : 

38 — Ten  Dollars.  Obverse , An  eagle  with  expanded  wings,  a shield  on  its  breast,  and  holding 
in  its  talons  a laurel  branch  and  three  arrows.  Above,  between  the  tips  of  the  wings  and  near  the 
border,  miners’  bank.  At  each  end  of  this  inscription  is  a star.  Below  is  san  fkancisco,  and  in 
the  centre  of  the  field  ten  d.  Edge  reeded. 


This  coin  was  alloyed  with  copper;  it  had  an  average  weight  of  263 i 
grains,  a fineness  of  about  .865,  and  an  average  value  of  $9.87,  with  a proba- 
bility, said  the  Mint  Assayers,  of  running  as  low  as  $9.75.  It  is  interesting 
to  note  in  Thompson’s  Coin  Chart  Manual  of  1856,  that  the  market  value  of 
a Miners’  Bank  Ten  Dollar  piece  was  $9.50 ; Norris,  Grieg  & Norris’s  Five 
Dollar  piece,  $4. 75,  and  mention  was  made  that  California  coins  were  bought 
at  one-half  to  five  per  cent,  below  these  quotations. 

1 The  letter  of  Moffat  & Co.  on  another  page  specifically  deals  with  just  such  criticisms  as  the  above. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


7 1 


DUBOSQ  & CO.,  SAN  FRANCISCO. 

The  first  reference  to  the  senior  member  of  this  firm  in  connection  with 
the  California  private  coinage,  is  found  in  “ Alta  California”  of  May  31,  1849, 
which  reads : 

We  learn  that  Mr.  Theodore  Dubosq,  a jeweler  from  Philadelphia,  who  recently  arrived 
in  the  “ Gray  Eagle,”  has  brought  with  him  the  necessary  machinery  for  striking  private  coins. 

Although  arriving  in  California  so  early,  and  at  a time  when  there  was 
such  an  urgent  need  of  coins,  it  is  not  known  positively  that  Mr.  Dubosq 
struck  gold  coins  in  1849.  Those  of  the  denomination  of  $5  and  $10,  dated 
1850,  and  bearing  his  name,  are  all  that  are  now  known. 

That  he  did  strike  gold  coins  in  1849,  however,  is  extremely  probable, 
for  there  are  in  existence  trial-pieces  in  copper  of  the  denomination  of  $2.50 
and  $5  which  bear  his  name.  The  designs  of  these  two  pieces,  while  quite 
similar,  are  widely  different  from  those  with  the  name  of  Dubosq  & Co., 
issued  in  1850.  They  both  bear  the  name  t.  dubosq  and  the  date  1840. 
These  designs  are  known  in  no  other  metal  than  copper,  but  it  is  quite 
likely  that  gold  pieces  were  struck  from  the  same  dies.  As  Mr.  Dubosq  was 
a jeweler,  it  is  also  probable  that  he  engraved  the  dies  for  all  the  coins  which 
have  his  name. 

Some  time  in  1850  he  formed  a partnership  with Goodwin,  and  their 

establishment  struck  a considerable  proportion  of  the  private  gold  in  1850. 
It  is  not  known  when  the  firm  ceased  operations,  but,  judging  from  an  extract 
taken  from  a San  Francisco  paper  of  1851,  giving  the  coinage  of  the  private 
mints  from  Jan.  1,  to  March  31,  1851,  Dubosq  & Co.  had  struck  $150,000 
worth  of  gold  up  to  that  time.  This  certainly  proves  that  they  issued  coins 
bearing  the  date  of  1851,  no  specimen  of  which,  however,  has  come  to  light. 

March  21,  1851,  the  house  of  James  King  of  William  sent  specimens 
of  California  private  coinage  to  the  United  States  Assayer,  Augustus  Hum- 
bert, for  assay,  among  which  were  seven  Ten  Dollar  and  three  Five  Dollar 
pieces  of  Dubosq  & Co.  In  his  report  upon  the  intrinsic  value  of  these  coins 
the  Assayer  stated  that  the  Ten  Dollar  pieces  averaged  a weight  of  262 
grains,  a fineness  of  .880,  with  an  intrinsic  value  of  $9.93,  while  the  Five 
Dollar  pieces  averaged  13  1 grains,  a fineness  of  .880,  and  an  intrinsic  value 
of  $4.96. 

Upon  the  publication  of  the  intrinsic  value  of  the  coins,  Messrs.  Dubosq 
& Goodwin,  who  issued  the  coins  bearing  the  stamp  dubosq  & co.,  wrote  a 
letter  to  Augustus  Humbert,  which  appeared  in  the  “Alta  California”  of 
March  30,  1851  : 


72 


PRIVATE  GOLD  COINAGE. 


San  Francisco,  March  28,  1851. 

Augustus  Humbert,  Esq. 

Respected  Sir:  — Having  read  in  the  “ Daily  Alta  California”  an  account  of  the  assays  of 
the  different  private  coins  made  in  San  Francisco,  assayed  by  you,  in  which  you  have  not  men- 
tioned the  value  of  silver  contained  in  our  coins,  if  it  is  not  too  much  trouble,  we  should  like 
you  to  make  public  what  our  coins  would  yield  in  Philadelphia,  and  oblige, 

Dubosq  & Goodwin. 


Assayer  Humbert  made  the  following  reply: 

U.  S.  Assay  Office,  San  Francisco,  March  28,  1851. 

Messrs.  Dubosq  & Goodwin, 

Gentlemen:  — In  answer  to  your  letter  of  this  day,  stating  that  I had  not  mentioned  the 
value  of  the  silver  contained  in  your  coin  as  you  call  it  (but  which  was  stamped  “ Dubosq  & 
Co."),  and  also  what  it  will  yield  in  Philadelphia,  I beg  leave  to  say  in  reply  to  the  first,  that 
the  coin  above  mentioned  was  assayed  according  to  the  instructions  given  to  this  office  by  the 
Government,  and  the  same  on  which  all  assays  are  here  made.  Your  coin  was  found  to  be 
880  thous.  fine,  and  the  value  of  the  gold  only  calculated. 

You  ask  what  your  coin  would  yield  in  Philadelphia.  I answer  that  I do  not  think  it 
worth  any  more  there  than  in  San  Francisco.  If  you  desire  to  know  what  it  would  be  worth 
at  the  United  States  Mint,  I must  refer  you  to  them.  Their  charge  for  separating,  alloying, 
toughening,  etc.,  would  absorb,  I think,  nearly,  if  not  all,  the  silver. 

I further  beg  leave  to  refer  to  the  following  extract  from  the  Manual  of  Coins  and  Bullion, 
issued  by  the  Assay  Office  of  the  United  States  Mint  at  Philadelphia,  December,  1849  : “ Silver 
considered  merely  as  an  alloy  of  gold  coin,  except  it  can  be  profitably  parted  out,  goes  for  no 
more  than  copper  in  the  same  predicament.” 

Respectfully  your  obedient  servant, 

A.  Humbert,  United  States  Assayer. 

39 — Ten  Dollars.  Obverse , Head  of  Liberty,  surrounded  by  thirteen  stars.  Below  is  the  date, 
1850.  On  the  coronet  of  Liberty,  dubosq  & co.  Reverse , An  eagle  with  outstretched  wings,  bearing 
a shield  on  its  breast.  The  right  talon  holds  a laurel  branch,  and  the  left  three  arrows.  Around  the 
border,  s m v California  gold.  Below  is  the  denomination,  ten  d. 

The  Ten  Dollar  piece  averaged  in  weight  262  grains,  of  a fineness  of  .899’,  and 
had  an  intrinsic  value  of  $10.15.  The  late  R.  H.  Brock  of  Philadelphia,  owned  the  only- 
known  Ten  Dollar  piece  of  Dubosq  & Co.  It  was  in  poor  condition,  and  is  now  in  the 
collection  of  the  University  of  Pennsylvania,  at  Philadelphia,  to  which  institution  Mr. 
Brock  bequeathed  his  collection  of  coins. 

40  — Five  Dollars.  Obverse  and  Reverse , The  same  in  all  respects  as  39,  except  that  at  the 
bottom  is  five  D. 

A single  specimen  assayed  at  the  Mint  showed  a value  of  $4.92,  but  a mixed  num- 
ber of  coins  amounting  to  $1,000  worth,  gave  a fineness  of  .887  and  a total  value  of 
$1,000.20.  Only  one  example  can  be  definitely  located;  this  is  in  the  collection  of 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


73 


Virgil  M.  Brand.  The  only  record  of  the  coin  is  the  one  in  the  R.  E.  Curtis  sale,  held  by 
Bangs  & Co.,  Dec.  12,  1884,  where  a Dubosq  & Co.  Five  Dollar  gold-piece,  dated  1850, 
in  good  condition,  brought  $6.40.  The  coins  of  Dubosq  & Co.  were  held  at  par  by  the 
Mint  Assayers  at  Philadelphia,  who  sustained  the  contention  that  the  Dubosq  coins 
were  worth  their  stamped  value. 

BALDWIN  & CO.,  SAN  FRANCISCO. 

The  firm  of  Baldwin  & Co.  was  composed  of  George  C.  Baldwin  and 
Thomas  S.  Holman,  who  conducted  a jewelry  business  in  San  Francisco  as 
early  as  April  1,  1850.  In  that  month  they  purchased  the  coining  apparatus 
of  F.  D.  Kohler  & Co.,  and  the  following  advertisement  appeared  in  the 
“ Pacific  News  ” of  May  1 , 1850  : 

Successors  to  F.  D.  Kohler  & Co.,  assayers,  refiners,  and  coiners, 
manufacturers  of  jewelry,  etc.  George  C.  Baldwin  and  Thos.  S.  Holman. 

All  kinds  of  engraving.  Our  coin  redeemable  on  presentation. 

The  undersigned,  having  disposed  of  their  stock  in  trade,  machinery, 
etc.,  to  Messrs.  Baldwin  & Co.,  would  cheerfully  recommend  them  to  the 
confidence  of  the  public.  F.  D.  Kohler  & Co. 

Baldwin  & Co.  struck  a large  number  of  coins,  probably  outranking  any 
of  the  private  coiners  who  did  business  in  1850  or  1851,  with  the  exception  of 
the  United  States  Assay  Office,  and  even  exceeding  the  output  of  the  latter 
establishment  from  Jan.  1 to  March  31,  1851,  when  Baldwin  & Co.  struck 
coins  to  a total  amount  of  $590,000  against  $530,000  by  the  Assay  Office. 

When  the  specimens  of  private  coins  were  submitted  to  Assayer  Hum- 
bert by  “James  King  of  William”  for  valuation,  among  them  were  thirteen 
Twenty  Dollar,  ten  Ten  Dollar,  and  twenty-eight  Five  Dollar  pieces  of 
Baldwin  & Co.  The  result  of  Assayer  Humbert’s  assays  showed  that  the 
Baldwin  Twenty  Dollar  coins  averaged  516^  grains  in  weight,  a fineness  of 
.871,  and  an  intrinsic  value  of  $19.40  ; the  Ten  Dollar  pieces  averaged  259^ 
grains,  a fineness  of  .872,  with  a value  of  $9.74  ; and  the  Five  Dollar  pieces, 
I3°f  i grains,  a fineness  of  .871,  and  a net  intrinsic  value  of  $4.91. 

The  report  on  the  results  of  these  assays  brought  forth  a storm  of  indig- 
nant comment  from  the  San  Francisco  newspapers,  and  when  the  citizens 
of  San  Francisco  resolved  no  longer  to  accept  the  coin  bearing  the  stamp  of 
Baldwin  & Co.  it  is  supposed  that  the  firm  immediately  ceased  their  issue. 

“ The  Pacific  News,”  under  date  of  April  9,  1851,  printed  the  following 
editorial  on  the  coining  operations  of  Baldwin  & Co. : 

The  Gold  Coin  Swindle.  — It  is  perhaps  a matter  of  no  especial  wonder  that  the 
community  feel  outraged  because  of  the  fact  that  nearly  all  of  the  gold  coin  put  in  circulation 
by  the  private  manufacturing  establishments  is  short  of  weight.  A citizen  last  evening  went  to 


74 


PRIVATE  GOLD  COINAGE. 


Baldwin’s  establishment,  and,  presenting  two  of  their  own  Twenty  Dollar  gold-pieces,  asked 
their  redemption  in  silver.  These  were  taken,  and  thirty-eight  dollars  returned. 

This  is  about  as  cool  and  direct  a piece  of  shaving  as  has  come  under  our  eye,  touching 
the  short-weight  gold  coin  swindle.  Why  should  the  community  suffer  this  to  go  on  longer  ? 
Why  not  refuse  every  dollar  of  Baldwin’s  coin  ? as  well  as  that  of  every  other  that  is  not  of  full 
value  and  redeemed  on  demand.  A bank-bill  is  worth  no  more  than  the  bare  paper  upon  which 
its  pretty  picture  is  printed,  except  from  the  fact  that  securities  are  pledged  for  its  redemption. 
So  also  with  Baldwin’s  coin.  It  is  worth  no  more  than  the  actual  value  of  the  gold  when  com- 
pared with  the  Government  standard. 

In  the  instance  we  refer  to,  there  was  a loss  of  five  per  cent.,  and  as  Baldwin’s  establish- 
ment has  an  immense  deal  of  coin  in  circulation  the  proprietors  must  make  a very  neat  little 
speculation  out  of  the  country  and  ultimately  amass  wealth  at  the  expense  of  the  honest  and 
industrious  citizens.  The  only  way  to  stop  this  swindle  seems  to  be  to  refuse  the  coin  alto- 
gether, not  only  that  issued  from  Baldwin’s  mint,  but  from  every  other  that  proves  a short 
weight  and  not  to  be  redeemed  on  presentation. 

On  April  17,  1851,  the  ‘‘Pacific  News”  contained  the  following: 

We  hear  a story,  which  is  pretty  well  authenticated,  that  Messrs.  Baldwin  & Bagley,  the 
manufacturers  of  “ Baldwin’s  Coin,”  left  in  the  Steamer  Panama  of  Tuesday  for  the  Atlantic 
States.  This  is  of  course  what  might  have  been  anticipated  as  the  finale  of  so  magnificent  a 
financial  operation  as  the  coinage  of  one  or  two  millions  of  circulating  medium  upon  which 
thev  have  pocketed  a profit  of  from  10  to  15  per  cent.,  less  the  expense  of  manufacturing  the 
stuff.  Unable  longer  to  impose  their  false  tokens  upon  the  community,  an  outraged  public  will 
now  pocket  the  loss  and  congratulate  themselves  that  the  swindle  has  been  exposed  even  thus 
early. 

The  amount  of  this  coin  in  circulation  is  not  less  than  $1,000,000,  and  is  probably  nearer 
two.  But  suppose  that  the  smaller  sum  be  correct,  the  profit  to  the  manufacturers  is  one  hun- 
dred thousand  dollars.  Whose  swindling  false  token  establishment  is  next  to  be  chronicled 
amongst  the  “ departures  for  Panama  ? ” 

Baldwin  & Co.  issued  coins  of  two  denominations  in  1850  — Five  and 
Ten  Dollars  — the  dies  for  which  were  cut  by  Albert  Kiiner. 

41  — Ten  Dollars.  Obverse , A large  figure  of  a mounted  vaquero,  with  a lasso  in  his  hand,  ready 
for  a throw.  Underneath  is  the  date,  1850.  At  the  top,  around  the  border,  California  gold. 
Around  the  border  at  the  bottom,  ten  dollars.  On  the  ground  is  the  name  A.  kuner.  Reverse , 
An  eagle;  between  the  tips  of  its  expanded  wings  and  around  the  border  at  the  top,  Baldwin  & co. 
At  the  bottom  and  around  the  border,  san  Francisco.  From  each  end  of  the  name  and  extending  to 
he  tip  of  the  eagle’s  wing  on  either  side  are  five  stars,  making  ten  in  all.  The  right  talon  of  the  eagle 
holds  a branch  of  olive,  and  the  left  three  arrows. 

A specimen  of  this  Ten  Dollar  gold-piece  assayed  at  the  Mint  weighed  263  grains, 
of  a fineness  of  .880,  and  an  intrinsic  value  of  $9.96. 

42  — Five  Dollars.  Obverse , Head  of  Liberty  to  the  left,  surrounded  by  thirteen  stars.  On  the 
coronet  Baldwin  & co.  Below  is  the  date,  1850.  Reverse , An  eagle  with  expanded  wings  and  a shield 
on  its  breast:  in  the  right  talon  a branch  of  olive;  the  left  holds  three  arrows.  At  the  top,  s m v Cal- 
ifornia gold,  and  at  the  bottom,  five  dol. 

The  intrinsic  value  of  these  pieces  averaged  about  $4.92. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


75 


1851. 

43 —  Twenty  Dollars.  Ofn'erse,  Head  of  Liberty  to  left,  surrounded  by  thirteen  stars;  on  the 
coronet  Baldwin.  Below  is  the  date,  1851.  Reverse , An  eagle,  with  expanded  wings,  its  head  turned 
to  the  left ; the  right  talon  holds  a branch  of  olive,  and  the  left  three  arrows.  Around  the  upper  por- 
tion of  the  border  s m v California  cold.  At  the  bottom  twenty  d. 

This  was  the  first  Twenty  Dollar  gold-piece  issued  in  California,  and  the  dies  for 
it  were  engraved  by  Albert  Kiiner.  A wax  impression  of  the  first  piece  struck  is  still 
extant.  An  assay  of  four  of  these  pieces  at  the  United  States  Mint  at  Philadelphia 
showed  that  their  weight  varied  from  5 1 1 to  523  grains,  but  a lot  of  one  hundred  pieces 
averaged  517  grains,  of  which  the  fineness  varied  from  .861  to  .871,  with  an  average 
fineness  of  .868  J,  and  an  average  intrinsic  value  of  $19.33.  This  denomination  is  very 
rare.  Probably  not  a half  dozen  specimens  are  known. 

44 —  Ten  Dollars.  Obverse , Head  of  Liberty  facing  to  the  left,  surrounded  by  thirteen  stars 
On  the  coronet  Baldwin  & co.  Below  is  1851.  Reverse , An  eagle  as  borne  by  the  Twenty  Dollar 
piece.  Around  the  border  s.  M.  v.  California  gold.  Below  is  the  denomination,  ten  d. 

When  a lot  of  these  coins  were  assayed  at  the  Mint  they  were  found  to  average 
259]  grains  in  weight,  a fineness  of  .870,  and  an  average  value  of  $9.72.  This  denom- 
ination also  is  very  rare.  The  Baldwin  coins  were  said  to  contain  a copper  alloy  which 
amounted  to  about  twenty-thousandths. 

SHULTZ  & CO.,  SAN  FRANCISCO. 

1851. 

The  firm  of  Shultz  & Co.  was  composed  of  Judge  G.  W.  Shultz  and 
William  Thompson  Garratt,  who  conducted  a brass  foundry  in  San  Francisco, 
on  Clay  Street,  back  of  Baldwin’s  coining  establishment,  as  early  as  1850, 
and  made  nearly  all  of  the  dies  used  in  that  city  for  private  coinage.  In  a 
biographical  sketch  of  Mr.  Garratt  in  “ Builders  of  a Great  City,”  published 
in  San  Francisco  in  1891,  this  statement  was  made: 

William  T.  Garratt  was  born  at  Waterbury,  Conn.  Judge  Shultz  and  he  went  into  busi- 
ness in  October,  1850,  making  all  the  dies  in  use  in  San  Francisco  for  private  coining  except 
those  of  Moffat,  whose  $50  slugs  will  be  remembered  by  all  old-timers.  Albert  Kiiner  did 
the  engraving  for  these  dies.  Besides  the  actual  manufacture  of  the  dies  the  firm  also 
coined  Five  Dollar  pieces.  Owing  to  a scarcity  of  coin  in  circulation,  the  firm  built  the 
machinery  for  coining  Five  and  Ten  Dollar  pieces,  and  continued  this  until  the  Legislature 
passed  a law  placing  private  coiners  on  a banking  basis,  and  on  account  of  this  law  they  dis- 
continued. The  firm  coined  for  Burgoyne  & Co.,  and  Argienti  & Co.,  brokers.  This  depart- 
ment of  the  business  had  been  under  the  management  of  Mr.  Shultz,  and  when  it  was  given 
up  he  retired.  Garratt  was  originally  a mechanic  by  trade. 

In  a dictated  statement  Mr.  Garratt  gave  the  following  information  in 
regard  to  the  conduct  of  the  coining  establishment  with  which  he  and  Mr. 
Shultz  were  connected  : 


76 


PRIVATE  GOLD  COINAGE. 


We  made  a great  many  dies  for  private  coining.  Albert  Kiiner,  who  is  still  in  business 
here,  would  do  the  engraving  and  I the  turning  — that  is,  the  machine-work  on  the  dies  — for 
which  at  the  time  we  would  get  $100  per  day  per  man  on  that  special  job. 

After  that,  Shultz  took  a notion  to  go  into  coining  for  Burgoyne  & Co.  and  Argienli  & 
Co.,  who  were  bankers  here  at  that  time.  They  would  buy  the  dust  and  we  would  do  the 
coining.  We  ran  for  a while,  and  then  Shultz  and  I separated,  he  taking  the  coining  es- 
tablishment and  I the  foundry,  he  keeping  the  room  over  the  foundry  for  his  business.  He 
continued  only  a short  time  before  the  Legislature  passed  a law  prohibiting  private  coining. 
We  took  gold  at  $16  an  ounce,  and  put  it  through  the  refining  process,  and  then  would  add 
io  per  cent,  copper.  That  of  course  would  take  a very  little  copper  — just  enough  to  make 
the  coin  hard  enough  to  wear.  I think  the  Legislature  prohibited  it  altogether  ; I am  not 
exactly  clear  on  that  point.  Moffat  was  allowed  to  go  ahead.  We  continued  in  the  same  place 
after  Shultz  had  quit.  We  had  moved  from  Clay  Street  down  to  Leidersdorff,  near  Sacramento. 
While  we  were  there  we  separated.  He  continued  coining  until  he  was  shut  off  by  the 
Legislature  ; it  might  have  been  two  months.  From  that  he  went  up  into  the  mountains,  and 
I continued  with  the  business. 

Judge  Shultz  was  connected  with  the  Gold  Mountain  Quartz  Mining  Company. 

One  biographer  stated  that  Messrs.  Shultz  and  Garratt,  in  connection 
with  their  foundry  business,  also  struck  Five  and  Ten  Dollar  gold-pieces,  for 
which  there  was  a great  demand.  Only  Five  Dollar  coins  bearing  their  stamp 
are  now  known,  however,  and  it  is  not  probable  that  the  firm  issued  Ten  Dol- 
lar pieces. 

In  Mr.  Garratt’s  statement  he  says  he  coined  pieces  for  Burgoyne  & Co. 
and  Argienti  & Co.  from  gold-dust  furnished  by  them.  It  is  probable  that 
all  such  coins  bore  the  name  of  Schultz  & Co.,  as  no  specimens  having  the 
private  stamp  of  either  of  the  above  concerns,  — both  of  which  were  prominent 
banking  firms  in  San  Francisco,  — are  known.  The  only  piece  of  currency 
credited  to  Burgoyne  & Co.,  so  far  as  known,  was  a Twenty-five  Cent  paper 
note.  This  was  issued  in  the  early  ’fifties,  and  specified  that  it  was  redeem- 
able in  gold-dust.  The  plates  for  this  were  engraved  by  J.  Manouvrier  and 
T.  Snell,  of  New  Orleans,  who  engraved  those  for  some  of  the  Confederate 
paper-money  issues. 

45  — Five  Dollars.  Obverse , Head  of  Liberty  to  left,  surrounded  by  thirteen  stars.  On  the 
coronet,  shults  & co.  [The  spelling  of  the  name  is  an  error  on  the  part  of  the  engraver,  Mr.  Kiiner, 
as  Mr.  Shultz  unquestionably  wrote  his  name  with  a Z instead  of  an  S.]  Below  is  the  date,  1851. 
Reverse , An  eagle  with  expanded  wings,  shield  on  breast,  and  holding  arrows  and  an  olive  branch, 
much  like  the  eagle  used  on  the  other  coins  of  the  series.  Around  the  upper  portion  of  the  border, 
PURE  California  gold.  Below  is  the  denomination,  five  d. 

Three  coins  with  this  stamp  were  assayed  at  the  Mint  in  1851  ; they  averaged  in 
weight  I28|  grains,  a fineness  of  .879,  and  showed  an  intrinsic  value  of  $4.94.4.  Only 
three  specimens  are  known.  One  is  owned  by  H.  O.  Granberg  ; the  second  by  Virgil 
M.  Brand,  and  the  third  is  in  the  Lighthouse  collection. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


77 


DUNBAR  & CO.,  SAN  FRANCISCO. 

1851. 

From  what  can  be  learned,  the  gold-pieces  bearing  the  above  stamp  were 
issued  by  Edward  E.  Dunbar,  who  conducted  the  California  Bank  in  San 
Francisco.  Mr.  Dunbar  afterwards  came  East  and  organized  the  well-known 
Continental  Bank  Note  Company.  An  advertisement  appeared  in  one  of  the 
California  papers  that  “ The  banking  office  of  Edward  E.  Dunbar  would 
redeem  the  coin  of  Baldwin  & Co.”  This  was  at  the  time  when  the  issues 
of  Baldwin  & Co.  were  discredited  in  San  Francisco  because  they  were  below 
the  value  stamped  upon  their  face,  and  business  men  in  general  had  refused 
to  take  them.  As  Baldwin  & Co.  ceased  to  strike  coins  about  this  time,  it  is 
not  unlikely  that  their  machinery  was  taken  over  by  Dunbar  & Co.,  and  used 
for  making  the  coins  bearing  the  latter  stamp.  Only  one  denomination  was 
struck  by  the  firm,  that  of  Five  Dollars,  a description  of  which  follows  : 

46  — Five  Dollars.  Obverse , Head  of  Liberty,  surrounded  by  thirteen  stars.  On  the  coronet, 
dunbar  & CO.  Below  is  the  date,  1851.  Reverse , An  eagle  with  expanded  wings.  On  the  breast  is 
a shield,  while  the  talons  hold  an  olive  branch  and  arrows.  Around  the  border,  s m v California 
gold.  Below  is  FIVE  D. 

A lot  of  hi  pieces  was  assayed  at  the  Mint  in  1851,  which  showed  an  average 
weight  of  13 1 grains,  a fineness  of  .883,  and  an  intrinsic  value  of  $4.98.  Not  more 
than  three  of  these  pieces  are  now  known  to  be  in  existence.  The  only  record  of  sale 
was  the  example  in  the  Cleneay  collection,  sold  Dec.  9-13,  1890,  when  a Five  Dollar 
piece,  dated  1851,  brought  $6.50.  Charles  Gregory  owns  probably  the  finest  known 
specimen  from  this  mint,  and  through  his  kindness  we  are  enabled  to  show  it  on  one  of 
the  plates  ; H.  O.  Granberg  owns  the  second  located  specimen,  and  Virgil  M.  Brand  the 
third. 


YVASS,  MOLITOR  & CO.,  SAN  FRANCISCO. 

1852-1855. 

The  firm  of  Wass,  Molitor  & Co.  was  composed  of  Count  S.  C.  VVass  and 
A.  P.  Molitor,  the  other  member,  if  there  was  one,  being  unknown.  The 
earliest  reference  to  their  establishment  of  a gold  smelting  and  assaying  plant 
is  found  in  the  “San  Francisco  Herald”  of  November  19,  1851,  which  reads 
as  follows : 

Messrs.  Wass,  Molitor  & Co.  have  removed  their  establishment  into  Naglee’s  fireproof 
building,  in  Merchant  Street,  where  they  are  now  busily  engaged  in  smelting  ores  of  all  kinds, 
melting  down  and  assaying  gold  for  the  largest  houses  in  the  city,  and  attending  generally  to  all 
business  connected  with  mining,  for  which  their  scientific  attainments  and  long  experience 
eminently  fit  them.  They  have  now  an  excellent  laboratory,  fitted  up  in  the  most  approved 
style,  with  powerful  furnaces  and  every  species  of  apparatus  required  for  the  most  delicate  and 
accurate  analyses. 


7» 


PRIVATE  GOLD  COINAGE. 


These  gentlemen  have  acquired  a thorough  and  practical  knowledge  of  mining  in  all  its 
ramifications,  in  the  celebrated  School  of  Mines  of  Germany;  having  perfected  that  knowledge 
by  working  in  the  gold  mines  of  their  native  land  — Hungary  — for  many  years,  and  later  those 
of  this  country.  This  establishment  therefore  is  almost  the  only  one  in  California  capable  of 
making  those  delicate  assays  which  are  so  much  needed  just  at  this  time. 

They  are  prepared,  too,  to  furnish  mining  plans  and  information  as  to  the  best  and  cheap- 
est method  of  working  the  mines,  which  will  be  invaluable  at  the  present  time,  when  attention 
is  so  much  directed  toward  them.  We  consider  the  scientific  experience  of  these  gentlemen  a 
valuable  acquisition  to  the  State.  They  are  compatriots,  and  were  companions  in-arms  of  the 
heroic  Kossuth  throughout  the  memorable  Hungarian  revolution.  Their  hope  of  liberty  in  their 
native  land  crushed,  their  fortunes  confiscated,  and  themselves  exiled  by  the  ruthless  Austrian, 
they  have  sought  a home  in  our  land,  the  refuge  of  the  oppressed  of  every  nation. 

The  announcement  of  the  beginning  of  operations  of  the  establishment 
of  Wass,  Molitor  & Co.,  appeared  November  25,  1851,  in  the  “San  Francisco 
Herald  ” : 

Assay  Office.  — Important  Advantage.  — The  subscribers  are  now 
ready  to  melt  and  assay  gold-dust,  and  will  pay  to  parties  depositing  the  dust 
the  net  proceeds  as  soon  as  the  dust  is  melted  and  assayed,  less  the  usual 
percentage  for  melting  and  assaying. 

The  advantage  in  this  arrangement  is  that  the  depositor  gets  his  money 
within  forty-eight  hours  after  depositing  the  dust. 

Wass,  Molitor  & Co. 

Merchant  St.,  Naglee’s  Building. 

The  “ San  Francisco  Herald  ” of  the  same  date,  also  made  the  following 
editorial  comment  upon  the  opening  of  the  assaying  establishment  of  Wass, 
Molitor  & Co. : 

It  will  be  seen  from  the  announcement  of  Wass,  Molitor  & Co.  that  the  public  have  a 
prospect  of  being  relieved  from  any  great  addition  to  the  torrent  of  cumbrous  slugs  that  has  for 
the  last  nine  months  been  inundating  the  country.  These  gentlemen,  of  whose  peculiar  fitness 
as  smelters  and  assayers  we  have  heretofore  spoken,  are  prepared  to  receive  gold-dust,  melt  it 
down,  and  by  assay  determine  its  mint  value.  Then,  deducting  the  usual  percentage  for  their 
labor,  they  will  pay  over  to  depositors  the  net  proceeds  of  their  gold  in  forty-eight  hours  from 
the  time  of  deposit.  The  United  States  Assay  Office,  we  are  informed,  makes  a return  — and 
that  return  in  slugs — in  eight  days  from  the  time  of  deposit.  By  this  new  arrangement  there- 
fore, the  depositor  not  only  saves  six  days’  use  and  interest  on  his  gold,  but  relieves  the  cur- 
rency from  the  addition  of  as  many  slugs  as  his  gold  could  be  coined  into.  Messrs.  Wass, 
Molitor  & Co.  pay  over  the  proceeds  in  any  coin  that  may  be  current  at  the  banks.  They  do 
not  of  course  undertake  to  coin,  themselves.  Their  establishment  will  be  a great  convenience 
to  the  public,  while  it  will,  to  the  extent  of  the  business  done  by  them,  check  the  incessant  stream 
of  unwieldy  slugs  that  clog  the  ordinary  transactions  of  business  to  a most  serious  extent. 

In  the  latter  part  of  1851,  when  the  only  coins  struck  in  California  were 
the  octagonal  Fifty  Dollar  pieces,  there  occurred  a famine  of  gold  of  small 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


79 


denomination  in  the  channels  of  trade,  owing  to  the  fact  that  regular  United 
States  gold  coins  and  the  foreign  coins  authorized  to  be  received  at  the  Cus- 
tom House  were  hoarded  and  reserved  for  this  purpose  and  for  foreign  ship- 
ment. A substitute  gold  currency  was  urgently  required,  and  therefore  the 
business  men  of  San  Francisco  petitioned  the  firm  of  Moffat  & Co.  to  strike 
gold  coins  of  small  denominations  bearing  their  private  stamp,  to  supply  this 
need.  Wass,  Molitor  & Co.,  recognizing  this  necessity,  began  the  issue  of  a 
Five  Dollar  piece  bearing  their  own  stamp,  which  was  gladly  welcomed,  the 
first  one  apparently  making  its  appearance  about  January  8,  1852,  to  which 
“ Daily  Alta  California  ” of  that  date  makes  reference  : 

Day  before  yesterday  we  were  shown  a piece  of  the  denomination  of  £5,  which  Messrs. 
Wass,  Molitor  & Co.  are  preparing  to  issue  from  their  assay  office,  Naglee’s  building,  in  Mer- 
chant Street.  It  has  the  head  and  stars  like  the  American  coin,  with  the  letters  w m * co  in 
the  place  occupied  by  the  word  liberty  on  our  National  currency.  Below  is  the  date,  1852. 
On  the  reverse  is  the  eagle,  with  the  words  “ In  California  Gold  — Five  Dollars  ” around  it. 
The  coin  has  the  pale  yellow  appearance  which  is  peculiar  to  the  private  coinage  of  the  State, 
and  which  is  caused  by  the  silver  alloy  natural  to  the  gold,  whereas  the  issues  from  the  United 
States  mint  are  slightly  alloyed  with  copper. 

On  the  same  date  as  the  above  the  “San  Francisco  Herald”  had  this 
comment  to  make  upon  the  appearance  of  the  new  specimen  of  private  coin- 
age : 

The  very  serious  inconveniences  to  which  the  people  of  California  have  been  subjected 
through  the  want  of  a mint,  and  the  stream  of  unwieldy  slugs  that  have  issued  from  the  United 
States  Assay  Office  have  imperatively  called  for  an  increase  of  small  coin.  The  well  known  and 
highly  respectable  firm  of  Wass,  Molitor  & Co.  have  come  forward  in  this  emergency,  and  are 
now  issuing  a coin  of  the  value  of  $5  to  supply  the  necessities  of  trade.  Their  coining  estab- 
lishment, located  in  Naglee’s  fireproof  brick  building,  in  Merchant  Street,  is  now  complete,  be- 
ing provided  with  the  most  powerful  and  improved  machinery  for  such  purposes. 

The  mechanical  execution  of  the  coin  issued  by  these  gentlemen  certainly  reflects  the 
highest  credit  upon  their  skill.  It  is  a beautiful  specimen  of  art,  far  superior  in  finish  to  any- 
thing of  the  kind  ever  gotten  up  in  California.  It  is  surrounded  by  a raised  milled  edge  to 
protect  the  surface  from  being  defaced  by  friction,  and  is  almost  a facsimile  of  the  United 
States  coin.  On  one  side,  surrounded  by  a circle  of  thirteen  stars,  is  a finely  engraved  head  of 
Liberty,  around  which  is  a band  bearing  the  letters  w m & co,  being  the  initials  of  the  coiners. 
Beneath  is  the  date  of  its  issue,  1852.  On  the  reverse  is  an  eagle,  bearing  in  its  talons  a bundle 
of  arrows  and  an  olive  branch.  Just  within  the  milled  edge  is  the  inscription,  — In  California 
Gold  Five  Dollars. 

But  the  most  important  point  to  the  public  is  its  fineness  and  weight,  as  upon  these  two 
qualities  combined  must  depend  its  value.  In  this  particular  it  will  be  found  highly  satisfac- 
tory, and  at  once  secure  the  confidence  of  the  community.  It  has  a uniform  standard  of  .880, 
and  contains  no  other  alloy  than  that  of  silver,  which  is  found  naturally  combined  with  gold. 
The  weight  of  each  of  the  $5  pieces,  which  are  the  only  ones  at  present  issued,  is  131/5  grains- 


8o 


PRIVATE  GOLD  COINAGE. 


The  standard  fineness  of  the  United  States  Five  Dollar  piece  is  .900,  weight  127  grains. 
It  is  therefore  T#gjj  finer  than  Wass,  Molitor  & Co.’s  pieces,  but  this  is  more  than  counterbal- 
anced by  the  latter’s  being  4^  grains  heavier,  so  that  the  new  Five  Dollar  gold  piece  is  in  real- 
ity worth  five  dollars  and  four  cents,  a sufficient  excess  to  pay  the  expense  of  recoinage  at  the 
United  States  Mint  without  cost  to  the  depositor. 

The  reason  Messrs.  Wass,  Molitor  & Co.  have  adopted  the  standard  of  .880  is  because 
this  is  about  the  average  fineness  of  California  gold,  and  further  because  the  cost  of  refining 
California  gold  to  the  United  States  standard  is  exceedingly  heavy,  and  the  necessary  chemicals 
cannot  be  obtained  in  this  country.  But  it  will  be  remembered  that  the  difference  is  more  than 
made  up  by  the  increased  weight  of  4/^  grains,  which  every  one  can  try  for  himself  on  a pair 
of  scales.  These  coins  will  be  redeemed  on  presentation  in  funds  received  at  the  Custom  House 
and  banks.  The  high  reputation  for  honor  and  integrity  enjoyed  by  Count  Wass  and  his  asso- 
ciates in  this  enterprise  is  an  additional  guaranty  that  every  representation  made  by  them  will 
be  strictly  complied  with.  The  public  will  be  glad  to  have  a coin  in  which  they  can  feel  con- 
fidence, and  which  can’t  depreciate  in  their  hands.  The  leading  bankers,  too,  sustain  and 
encourage  this  issue,  and  will  receive  it  on  deposit.  Among  others  are  the  heavy  houses  of 
Adams  & Co.,  Burgoyne  & Co.,  and  Page,  Bacon  & Co. 

Messrs.  Wass,  Molitor  & Co.’s  coining  establishment,  which  is  entirely  disconnected  from 
the  smelting  and  assaying  office,  now  in  active  operation,  is  capable  of  turning  out  from  $7,000 
to  $8,000  in  Five  Dollar  pieces  per  day.  We  shall  in  a future  article  give  a description  of  the 
minting  process  by  which  through  many  stages  the  crude  gold-dust  is  converted  into  coin. 

This  description,  as  promised,  appeared  in  the  “ Herald  ” of  January 
1 7,  1852,  and  as  it  is  regarded  as  being  of  much  interest  to  the  reader,  the 
full  text  is  herewith  given  : — 

We  gave  a detailed  description  a few  days  ago  of  the  new  Five  Dollar  piece  issued  by  this 
enterprising  firm.  Since  then  they  have  prepared  a die  for  coining  Ten  Dollar  pieces,  some  of 
which  we  have  seen  struck  off.  They  are  superior  in  mechanical  execution  to  the  Five  Dollar 
pieces,  and  will  compare  favorably  with  any  coin  now  in  the  market.  They  are  similar  to  the 
smaller  coin,  with  the  exception  of  being  stamped  on  one  side,  “ s m v (standard  mint  value) 
Ten  Dollars.”  A quantity  of  their  coin  has  been  sent  on  to  the  Mint  by  the  bankers  who  re- 
ceive it,  so  that  by  an  official  assay  the  public  may  be  entirely  satisfied  that  it  is  worth  all  it 
purports  to  be. 

The  process  by  which  the  crude  gold-dust  is  converted  into  coin  is  quite  intricate  and 
interesting.  The  metal  has  to  pass  through  half  a dozen  different  stages  in  the  hands  of  a 
dozen  workmen  before  it  is  turned  out  of  the  press  ready  for  circulation.  In  the  first  place  the 
dust  is  placed  in  suitable  vessels  and  smelted  by  the  heat  of  a powerful  furnace.  In  its  molten 
state  it  is  run  into  thick  bars  or  ingots.  These  are  separately  assayed  with  extreme  care  and 
nicety  by  Count  Wass.  The  fineness  of  each  bar  being  ascertained,  silver  is  either  added  or 
subtracted,  according  as  it  is  above  or  below  the  standard  fineness,  so  as  to  attain  a uniform 
mixed  degree  of  purity.  It  will  be  remembered  that  there  is  no  alloy  of  copper  in  these  coins, 
as  in  those  issued  from  the  United  States  Mint,  and  hence  they  have  a lighter  yellow  color. 

After  the  bars  have  been  made  of  a requisite  fineness  they  are  resmelted  and  cast  into 
smaller  bars.  These  are  hammered  out,  then  drawn  through  slits  in  a powerful  machine  — the 
width  of  the  slit  being  diminished.  By  this  means  ii  is  made  to  assume  the  shape  of  a golden 
hoop.  It  is  then  drawn  through  a powerful  rolling  machine,  graduated  to  the  required  thick- 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


81 


ness,  from  which  it  issues  a long,  thin  strip,  brightly  polished,  and  of  the  thickness  of  the  coin. 
It  is  then  placed  under  another  ingenious  machine  in  which  it  is  cut  up  into  circular  pieces  the 
size  of  the  proposed  coin.  These  pieces  are  separately  adjusted  to  the  standard  weight  in  very 
nice  scales  prepared  for  the  purpose.  If  they  weigh  a little  too  much,  as  they  always  do,  they 
are  reduced  by  filing.  They  are  now  ready  to  be  stamped. 

The  first  stage  in  this  process  consists  in  placing  them  in  a milling  machine  of  great 
power.  From  this  they  receive  a neat,  raised  milled  edge.  Nothing  remains  now  but  to  place 
them  in  the  press,  where  they  are  stamped.  This  press  operates  on  the  principle  of  the  screw. 
The  circular  piece  of  gold  — the  embryo  coin  — is  placed  upon  a die  which  is  to  give  its  im- 
press to  one  side,  while  another  die,  which  stamps  the  other  side,  is  made  to  descend  with 
great  force  by  whirling  the  heavy  loaded  arms  of  a lever  passing  through  the  screw.  It  is  a 
current  Five  or  Ten  Dollar  piece,  as  the  case  may  be.  The  finishing  touch  is  put  to  it  by 
roasting  it,  so  as  to  give  it  a bright  color.  All  these  different  processes  of  course  require  great 
scientific  and  mechanical  skill,  extreme  accuracy,  and  heavy  and  complete  machinery.  All  of 
these  requisites  Messrs.  Wass,  Molitor  & Co.  possess. 

The  firm  issued  coins  of  the  denomination  of  Five,  Ten,  Twenty,  and 
Fifty  Dollars.  The  first  issue  in  1852  included  the  denominations  of  Five 
and  Ten  Dollars.  No  pieces  bearing  the  stamp  of  the  firm  were  coined  in 
1853  or  1854,  but  in  1855  they  began  the  striking  of  Fifty  and  Twenty  Dollar 
pieces,  the  latter  of  which  are  now  of  extreme  rarity.  The  Fifty  Dollar  piece, 
which  is  circular  in  shape,  came  into  being  about  the  time  the  business  men 
of  San  Francisco  petitioned  Congress  to  strike  such  coins  at  the  United  States 
Mint,  and  it  must  have  made  its  appearance  some  time  in  the  Spring  of  1855, 
judging  by  the  following  extract  from  the  “ Sacramento  Daily  Union  ” of  April 
30,  1855  : 

Col.  Pardee  of  Wells,  Fargo  & Co.’s  Express  has  exhibited  to  us  the  new  Fifty  Dollar 
piece,  which  in  a great  measure  is  destined  to  supplant  the  old-fashioned  octagon  slug  now  in 
circulation.  This  coin  is  circular,  almost  entirely  destitute  of  ornament,  and  plain  as  a maiden’s 
countenance  who  has  breathed  the  air  of  fifty  summers.  At  the  outer  edge  of  one  side  are  the 
words  “ Wass,  Molitor  & Co.  San  Francisco,”  inclosing  on  the  centre  of  the  coin  the  figures 
“ DUO  ” and  abbreviated  word  “ Thous.”  with  the  figures  “ 50  ” underneath,  and  the  word 
“ Dollars  ” below  the  latter  figures.  On  the  reverse  of  the  coin  is  a homely  head  of  Liberty 
and  the  figures  “ 1855.”  The  coin  certainly  has  no  pretentions  to  beauty  ; nevertheless  we 
would  not  like  to  refuse  a few  to  break  with  our  friends. 

Evidently  the  Fifty  Dollar  pieces  of  this  firm  were  struck  in  considerable 
numbers,  and  are  not  very  rare  even  at  the  present  time,  yet  well-preserved 
specimens  command  a substantial  premium.  Perhaps  the  record  price  for 
one  of  these  coins  was  $400,  paid  for  a very  fine  example  at  the  Bruce  Cart- 
wright sale  in  London. 

Proof  of  the  considerable  volume  in  which  the  gold  Twenty  and  Fifty 
Dollar  pieces  of  this  firm  were  originally  issued  is  furnished  by  the  state- 


82 


PRIVATE  GOLD  COINAGE. 


ment  contained  in  “Alta  California”  of  May  16,  1855,  that  “ Wass,  Molitor 
& Co.  have  commenced  issuing  their  Fifty  and  Twenty  Dollar  pieces  at  the 
rate  of  $38,000  per  day.  The  coin  is  above  the  United  States  standard,  and 
is  confidently  received  throughout  the  State.” 

1852. 

47  — Ten  Dollars.  Obverse , Head  of  Liberty  (a  small  head).  On  the  coronet  is  w M & co. 
Around  the  border  are  thirteen  stars,  and  below  is  the  date,  1852.  Reverse , An  eagle,  shield  on  breast, 
with  an  olive  branch  in  its  right  talon  and  three  arrows  in  the  left.  The  olive  branch  points  above  the 
lower  part  of  the  latter  s.  Around  the  border  issMV  California  gold  ten  d.  The  borders  are 
beaded  and  the  edge  reeded. 

48  — Ten  Dollars.  Obverse , Liberty  (a  large  head),  thirteen  stars,  and  the  date,  1852.  Reverse , 
Similar  to  47,  but  from  a different  die,  the  olive  branch  pointing  below  the  s.  The  borders  beaded  and 
the  edge  reeded. 

49  — Five  Dollars.  Obverse , Head  of  Liberty  to  left,  surrounded  by  thirteen  stars.  On  the  coro- 
net the  letters  w m & co.,  while  below  is  the  date,  1852.  Reverse , An  eagle  bearing  a shield  upon  its 
breast,  with  three  arrows  and  an  olive  branch  in  its  talons,  and  surrounded  by  the  legend,  in  Cali- 
fornia gold. 

There  is  only  one  type  of  the  Five  Dollar  piece,  which  is  quite  similar  in  general 
design  to  the  regular  United  States  Five  Dollar  coin,  but  there  are  a number  of  trifling 
die  varieties. 


1855. 

50  — Fifty  Dollars.  Obverse , Head  of  Liberty  to  the  left,  surrounded  by  thirteen  stars.  Below 
is  the  date,  1855.  Reverse , Two  branches  of  laurel  crossed  and  forming  a wreath,  within  which,  in  two 
lines,  50  dollars.  Just  above  the  figures  50  is  the  fineness  on  a label,  900  thous.  Around  the  border 
at  the  upper  portion,  san  Francisco  California,  and  around  the  lower  portion,  wass,  molitor  & co. 
Border  beaded  and  edge  reeded.  Circular. 

51  — Twenty  Dollars.  Obverse , Small  head  of  Liberty,  with  w M & co  on  the  coronet.  Around 
the  border  thirteen  stars,  with  the  date  1855  below.  Reverse , An  eagle  with  outstretched  wings,  an 
olive  branch  in  its  right  and  three  arrows  in  its  left  talons.  Above,  on  a label,  900  thous.  Around 
the  border,  san  francisco  California  twenty  dol.  The  edge  is  reeded. 

The  only  example  of  this  denomination  that  has  been  offered  in  recent  years, 
brought  $500  at  one  of  the  Elder  sales.  A.  Reimers  of  San  Francisco  also  owns  an 
excellent  specimen. 

KELLOGG  & CO.,  SAN  FRANCISCO. 

I 854-1855. 

John  Glover  Kellogg,  the  senior  member  of  the  firm  of  Kellogg  & Co., 
came  from  Auburn,  N.  Y.,  to  San  Francisco,  October  12,  1849.  He  secured  a 
position  with  Moffat  & Co.,  who  were  then  in  the  coining  business  at  the  cor- 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


83 


ner  of  Clay  and  Dupont  Streets.  He  continued  with  this  establishment  when 
it  passed  to  the  control  of  Curtis,  Perry  & Ward,  who  conducted  their  assay 
office  in  the  building  of  the  old  United  States  Mint  on  Commercial  Street. 
When  the  United  States  Assay  Office  ceased  operations,  on  December  14, 
1853,  Mr  Kellogg  opened  one  of  his  own  with  G.  F.  Richter,  who  had  been 
employed  as  an  assayer  at  the  United  States  Assay  Office,  and  began  business 
at  106  Montgomery  Street,  December  19,  1853,  as  Kellogg  & Richter.  The 
following  advertisement  appeared  in  the  “San  Francisco  Herald”  of  that  date  : 

Assay  Office.  — The  undersigned,  who  have  been  connected  with  the 
United  States  Assay  Office  from  its  commencement,  have  opened  an  office 
for  melting  and  assaying  gold  in  the  basement  of  J.  P.  Haven’s  building,  No. 

106  Montgomery  Street,  one  door  of  Lucas,  Turner  & Co.’s  banking  house, 
and  nearly  opposite  Adams  & Co. 

Kellogg  & Richter. 

Under  this  advertisement  was  the  following  indorsement: 


San  Francisco,  Dec.  19,  1853. 

Messrs.  Kellogg  & Richter  have  been  employed  (the  former  as  cashier 
and  the  latter  as  practical  assayer)  in  the  United  States  Assay  Office  from 
its  commencement  to  its  close.  We  take  pleasure  in  bearing  testimony  to 
their  industry,  integrity,  and  skill,  and  in  commending  them  to  the  confid- 
ence and  patronage  of  the  public. 

Curtis  & Perry, 

A.  Humbert,  Late  U.  S.  Assayer. 


In  January,  1854,  owing  to  the  great  scarcity  of  gold  coin  with  which  to 
carry  on  ordinary  business,  the  United  States  Assay  Office  having  ceased 
operations  and  no  private  firm  at  that  time  striking  gold,  a petition  was  ad- 
dressed to  Kellogg  & Richter  requesting  them  to  issue  gold  coins  bearing 
their  stamp,  the  text  of  which  follows  : 

San  Francisco,  Jan.  14,  1854. 

Messrs.  Kellogg  & Richter,  Assayers. 

Gentlemen:  — The  undersigned  bankers  of  this  city  and  State,  perceiving  the  results  which 
would  follow  our  continued  shipments  of  coin,  would  respectfully  submit  your  attention  to  this 
want  of  the  public,  and  if  possible  that  you  will  supply  the  vacuum  until  the  Mint  shall  go  into 
operation,  and  remove  the  chances  of  financial  embarrassment  from  this  cause,  by  the  issuing  of 
your  own  private  coin.  Your  long  connection  with  the  late  Government  Assay  Office  of  Messrs. 


84 


PRIVATE  GOLD  COINAGE. 


Curtis,  Perry  & Ward  gives  us  confidence  in  your  ability  and  integrity,  and  that  you  will  con- 
duct this  business  with  a proper  regard  to  the  rights  of  the  community,  as  well  as  your  own 
private  emolument.  Such  coin  we  shall  be  willing  to  receive. 


Page,  Bacon  & Co. 
Burgoyne  & Co. 

James  King  of  Wm. 
Tallant  & Wilde. 

Drexel,  Sather  & Church. 
Robinson  & Co. 


Adams  & Co. 

Lucas,  Turner  & Co. 

Wells,  Fargo  & Co. 
Carothers,  Anderson  & Co. 
Palmer,  Cook  & Co. 
Sanders  & Brenham. 


SACRAMENTO. 


A.  G.  Richardson,  Agent. 

B.  F.  Hastings  & Co. 

M.  McNair,  Agent. 

D.  O.  Mills  & Co. 


Gwin  & Rumbar. 
Read  & Co. 

Page,  Bacon  & Co. 
Jno.  M.  Rhodes. 


In  response  to  this  petition  Kellogg  & Richter  on  January  31,  wrote  the 
subjoined  letter  : 


San  Francisco,  Jan.  31,  1854. 


Gentlemen: — Your  letter  under  date  of  Jan.  14,  requesting  us  to  issue  our  own  private 
coin  is  at  hand.  We  shall  be  able  to  comply  with  your  request  ten  days  from  this  date.  With 
many  thanks  for  your  expressions  of  confidence  in  our  ability  as  Assayers,  and  in  our  integrity, 
we  remain, 


Yours  truly, 


Kellogg  & Co. 


To  Messrs.  Page,  Bacon,  Adams  & Co.,  and  others,  Bankers. 


The  first  coin  to  be  issued  by  Kellogg  & Co.  was  on  February  9,  1854,  as 
will  be  seen  by  the  following  reference  in  “Alta  California  ” of  February  16, 
1854: 

Messrs.  Kellogg  & Richter  have  established  a private  coining  house  on  Montgomery 
Street,  in  the  basement  of  the  building  adjoining  Adams  & Co.’s  old  banking  house.  They 
issued  their  fiist  coin  on  the  9th.  It  is  like  United  States  coin,  except  that  in  place  of  liberty 
on  the  head  are  the  words  Kellogg  a co.  They  expect  to  be  able  to  issue  $20,000  per  day. 

The  “San  Francisco  Herald”  of  February  11,  makes  this  reference  to 
the  new  issue  : 

We  have  seen  to-day  the  first  issue  of  the  new  Twenty  Dollar  pieces  issued  by  Messrs. 
Kellogg  & Richter.  It  is  an  exact  and  very  handsome  imitation  of  the  United  States  coin,  the 
only  difference  being  the  motto  upon  the  cap  of  the  Goddess  of  Liberty  which  adorns  one  side 
of  the  coin.  On  the  front  of  the  cap  are  the  words,  Kellogg  a co.  inscribed  in  the  place  of 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


85 


the  word  liberty  which  marks  the  regular  piece.  The  appearance  of  the  new  coin  is  highly 
creditable  to  Kellogg  & Co.,  who  enjoy  in  the  highest  degree  the  confidence  of  the  business 
community.  We  learn  that  they  will  be  able  to  issue  about  $ 20,000  per  diem  with  their  present 
arrangements,  which  will  probably  be  speedily  improved  and  their  facilities  for  coinage  increased. 


The  “ San  Francisco  Prices  Current”  of  February  15,  1854,  had  this  to 
say  in  connection  with  the  opening  of  the  new  United  States  Mint: 

We  have  to  notice  that  the  alterations  of  the  old  Assay  Office  of  Curtis,  Perry  & Ward  are 
progressing  well,  the  additions  and  changes  being  by  virtue  of  a contract  for  the  erection  of  the 
United  States  Mint  Buildings  and  the  supplying  of  suitable  machinery.  To  supply  any  de- 
ficiency or  vacuum  which  may  arise  before  the  Mint  can  commence  operations,  or  indeed  after- 
ward, we  have  to  notice  that  Messrs.  Kellogg  & Richter,  Assayers,  have  commenced  the  issue 
of  private  coin,  the  first  pieces  of  this  stamp,  “ Kellogg  & Co.”  having  made  their  appearance 
this  week,  and  of  the  denomination  of  $ 20 . They  are  similar  in  their  general  style  to  the 
United  States  coins,  but  easily  distinguishable  by  their  yellow  appearance,  which  is  the  natural 
color  of  California  gold,  while  the  peculiar  appearance  of  the  regular  Double  Eagle  is  the  result 
of  copper  alloy. 

Enormous  amounts  were  struck  at  the  Mint  of  Kellogg  & Co.  at  this 
time,  to  fill  the  demand  for  coined  gold,  it  being  the  only  establishment  for 
this  purpose  then  in  operation,  and  the  gold  produced  by  the  mines  reaching 
an  extraordinary  volume,  to  which  the  “Prices  Current”  of  March  31,  re- 
fers : 


We  question  whether  there  ever  was  a fortnight  since  the  California  mines  were  discovered 
during  which  so  much  gold-dust  came  down  to  San  Francisco  as  during  the  fortnight  just  passed, 
and  in  connection  with  the  product  of  gold,  and  in  intimate  connection,  too,  we  deem  it  not  mis- 
placed to  call  public  attention  to  the  admirable  manner  in  which  the  Assay  Office  (Kellogg  & 
Richter)  in  this  city  is  conducted,  and  the  very  important  part  it  has  performed  during  the  past 
month  in  preventing  any  disarrangement  of  our  financial  matters ; for  without  the  coining  of  the 
dust  which  it  has  done  we  might  have  found  ourselves  forced  to  return  to  weighing  it  out  for 
payment. 

Even  though  the  Branch  Mint  had  begun  operations,  but  few  pieces  were 
struck,  owing  to  the  scarcity  of  silver  for  alloying  and  refining  purposes,  and 
the  few  denominations  of  $1,  $2.50,  $5,  and  $10  were  made  in  order  to  test 
the  machinery.  The  bulk  of  the  work  of  coin-making  therefore  fell  upon 
Kellogg  & Richter. 

In  the  latter  part  of  1854  the  firm  of  Kellogg  & Richter  was  dissolved, 
and  reorganized  as  Kellogg  & Humbert,  the  new  member  being  Augustus 
Humbert,  the  former  United  States  Assayer,  and  this  partnership  lasted  until 
i860,  although  the  firm  ceased  to  strike  coins  in  1855. 


86 


PRIVATE  GOLD  COINAGE. 


Notwithstanding  the  operation  of  the  United  States  Branch  Mint  Kellogg 
& Humbert  issued  coins  in  1855  in  even  greater  volume  than  before.  On 
May  i,  1855,  the  “Alta  California"  announced  that  the  Branch  Mint  had 
just  resumed  coining,  and  further  stated  that  the  principal  assay  office  in  the 
country  (Kellogg  & Co.)  effected  over  50  per  cent,  more  toward  the  supply 
of  coin  than  the  United  States  Mint.  It  is  said  that  $1,500,000  was  the  great- 
est amount  per  month  produced  by  the  Mint,  while  the  assay  office  had  for 
weeks  manufactured  from  $60,000  to  $80,000  daily,  and  every  banker  in  the 
State  admitted  that  but  for  the  assay  office  the  financial  crisis  would  have 
been  prolonged.  To  this  office,  the  paper  continued,  the  holders  of  bullion 
had  to  look  for  coin,  and  but  for  this  private  mint  San  Francisco  might  have 
been  bankrupt. 

Although  the  California  papers  in  1855  mention  the  Fifty  Dollar  piece  of 
Wass,  Molitor  & Co.,  yet  they  do  not  contain  the  slightest  reference  to  that 
of  Kellogg  & Co.  (that  could  be  found),  which  would  seem  to  indicate  that 
coinage  of  that  denomination  did  not  go  beyond  the  experimental  stage,  and 
that  the  thirteen  known  pieces  now  located  were  scarcely  more  than  trial 
pieces. 

In  1905  the  late  De  Witt  Smith  of  Lee,  Mass.,  compiled  a list  of  the 
known  Kellogg  & Co.  Fifty  Dollar  pieces,  and  their  holders  : Nos.  1,  2,  3 are 
owned  by  the  Kellogg  family  (one  by  Karl  Kellogg,  son  of  J.  G.  Kellogg);  4, 
United  States  Mint;  5,  Virgil  M.  Brand,  Chicago;  6,  Mr.  Earle,  Philadelphia; 
7,  Andrew  C.  Zabriskie,  New  York;  8,  De  Witt  Smith,  Lee,  Mass.;  9,  George 
W.  Rice,  Detroit,  Mich.;  10,  John  A.  Beck,  Allegheny,  Penn.;  11,  W.  W. 
Kaufman,  Marquette,  Mich.;  12,  C.  W.  Cowell,  Denver,  Colo.  ; 13,  John  A. 
Jenks,  Philadelphia,  Penn.  The  finest  specimen  is  in  the  collection  of  Virgil 
M.  Brand,  which  he  obtained  at  the  sale  of  the  coins  of  Augustus  Humbert  in 
Philadelphia.  This  is  a beautiful  proof.  A perfect  proof  was  disposed  of  at 
the  Zabriskie  sale.  H.  O.  Granberg  owns  a proof  specimen  also,  making 
the  thirteenth,  as  Mr.  Smith  was  mistaken  in  thinking  that  there  was  an 
example  in  the  Mint  cabinet. 

The  firm  of  Kellogg  & Co.  is  credited  with  having  struck  $6,000,000 
worth  of  Twenty  Dollar  pieces  during  its  operations,  a large  consignment  of 
which  was  lost  by  the  sinking  of  a steamer  in  the  Pacific  on  its  way  from  San 
Francisco  to  New  York.  The  dies  for  the  Twenty  and  the  Fifty  Dollar  pieces 
are  said  to  be  still  in  existence. 

The  firm  of  Kellogg  & Humbert  was  dissolved  in  i860,  and  Mr.  Kellogg 
became  associated  with  J.  H.  Stearns  and  John  Heuston,  Jr.,  as  Kellogg, 
Heuston  & Co.,  who  carried  on  an  assaying  business  at  416  Montgomery 
Street.  This  firm  was  dissolved  in  1866,  and  merged  into  the  Selby  Lead 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


87 


and  Silver  Smelting  Company,  which  is  still  doing  business.  Mr.  Kellogg 
died  on  April  21,  1886. 

1854. 

52 —  Twenty  Dollars.  Obverse , Head  of  Liberty  to  left,  surrounded  by  thirteen  stars.  At  the 
bottom  is  the  date,  1854.  On  the  coronet,  Kellogg  & co.  in  small  letters.  Reverse , A close  imita- 
tion of  the  regular  United  States  Double  Eagle.  The  talon  of  the  eagle  clasps  three  short  arrows. 

53 —  Twenty  Dollars.  Obverse , Similar  to  52,  but  the  name  Kellogg  & co.  in  larger  letters. 
Reverse , Similar  to  52,  but  the  arrows  in  the  eagle’s  talon  are  much  longer  and  extend  almost  to  the 
scroll. 

1855. 

54  — Fifty  Dollars.  Obverse , Head  of  Liberty,  surrounded  by  thirteen  stars.  On  the  coronet 
Kellogg  & CO.  Below  is  the  date,  1855.  On  the  truncation  of  the  bust  of  Liberty,  in  small  letters, 
F.  gruner,  for  Ferdinand  Gruner,  a well-known  die  cutter  of  San  Francisco.  Reverse , An  eagle  sim- 
ilar to  that  on  the  octagonal  Fifty  Dollar  piece,  grasping  in  its  right  talon  a United  States  shield  and 
three  arrows,  while  in  the  beak  is  held  a long  flowing  ribbon  without  inscription.  Above  the  eagle 
upon  the  folds  of  a long  label  is  1309  grs  887  thous.  Around  the  border  san  Francisco  Califor- 
nia fifty  dolls.  The  edge  is  reeded. 

This  represents  one  of  the  handsomest  pieces  of  die-cutting  in  the  entire  California 
series.  No  information  concerning  this  Kellogg  Fifty  Dollar  piece  seems  to  be  obtain- 
able. It  is  quite  certain,  however,  that  it  was  issued  about  the  same  time  as  the  Wass, 
Molitor  & Co.  piece  of  the  same  value,  and  like  the  latter,  owes  its  origin  to  the  demand 
of  the  San  Francisco  merchants  for  a gold  piece  of  large  denomination  for  quick  count- 
ing purposes. 

55  — Twenty  Dollars.  Obverse , The  usual  Liberty  head,  surrounded  by  thirteen  stars,  Kellogg 
A co.  on  coronet,  with  1855  below  the  bust.  Reverse , Similar  to  52. 

56 — Twenty  Dollars.  Obverse , Similar  to  55,  but  the  eagle  on  the  reverse  grasps  long  arrows, 
as  on  53. 


ADDITIONAL  NOTES. 

The  following  additional  information  regarding  several  of  the  important 
mints  has  come  to  our  knowledge  since  the  previous  pages  were  printed. 

Until  late  in  December,  1911,  the  existence  of  a Five  Dollar  coin  of  the 
Ormsby  mint  was  unknown.  While  a letter  to  the  “San  Jose  Pioneer” 
of  May  5,  1877,  said  that  J.  S.  Ormsby  & Co.  had  struck  both  Five  and 
Ten  Dollar  pieces,  we  were  very  much  inclined  to  doubt  its  statement  that 
the  smaller  denomination  had  been  coined.  However,  such  a piece  has  now 
come  to  light,  and  was  purchased  by  the  writer,  in  conjunction  with  J.  W. 
Scott  of  New  York  City.  A reproduction  of  this  is  shown  on  one  of  the 
plates  herewith. 


88 


PRIVATE  GOLD  COINAGE. 


32A  — Five  Dollars.  Obverse , j.  s.  o.  in  the  centre  of  the  field.  Around  the  border  united 
states  of  America.  cal.  Reverse , 5 dolls  in  the  centre  of  the  field.  Around  the  border 
twenty  stars.  Plain  edge. 

This  piece  had  been  in  the  possession  of  Jacob  B.  Moore,  Jr.,  since  1849.  He  had 
been  employed  by  his  father  Jacob  B.  Moore,  Sr.,  Postmaster  of  San  Francisco,  as  an 
assistant  in  that  year.  Mr.  Moore’s  brother,  George  H.  Moore,  was  formerly  Librarian 
of  the  New  York  Historical  Society.  It  will  be  observed  that  the  punches  used  in  mak- 
ing the  dies  for  the  Ten  Dollar  Ormsby  piece  were  also  used  in  making  this.  The  Ten 
Dollar  piece  shows  thirty-one  stars  around  the  border  (California  having  been  the  thirty- 
first  State  admitted  to  the  Union)  while  the  Five  shows  only  twenty.  The  latter  fact 
has  no  significance,  as  the  limited  space  would  permit  no  more  to  be  added.  So  far  as 
can  be  learned,  the  Five  Dollar  piece  is  unique.  It  is  in  splendid  condition,  and  docs 
not  appear  to  have  seen  much  circulation. 

The  firm  of  Ormsby  & Co.  was  composed  of  Dr.  J.  S.  and  Major  William 
M.  Ormsby.  Their  assay  office  and  mint  was  located  on  K Street,  Sacra- 
mento, just  below  the  site  of  the  Golden  Eagle.  Dr.  Ormsby  was  a member 
of  the  California  Legislature  in  1858.  Major  Ormsby  was  one  of  the  Nevada 
pioneers,  and  owned  the  third  house  built  in  the  Eagle  Valley,  on  the  site  of 
what  is  now  Carson  City.  He  was  prominent  in  early  Nevada  affairs,  and  one 
of  the  prime  movers  in  the  organization  of  a Territorial  government.  Identi- 
fied with  him  in  Nevada  was  O.  H.  Pierson,  another  California  pioneer,  who 
had  been  a clerk  in  the  Ormsby  mint  at  Sacramento.  During  the  Indian 
troubles  in  i860,  Major  Ormsby,  with  a force  of  105  men,  had  a fight  with  a 
band  of  Pah  Ute  Indians,  under  the  leadership  of  Chiquito  Winnemucca 
(Black  Rock  Tom,  as  he  was  known)  near  Pyramid  Lake,  the  result  of  which 
was  a disastrous  defeat  of  the  white  men.  Major  Ormsby  and  about  sixty 
others  were  killed. 

In  the  “ New  York  Herald  ” of  May  1 !,  1849,  *s  a full  list  of  California 
companies  at  St.  Joseph,  Mo.,  April  14,  ready  to  start  on  the  long  journey 
over  the  plains  and  mountains.  Among  these  were  “ Dr.  J.  S.  Ormsby,  L. 
P.  Ormsby,  of  Peru  ; Major  William  Ormsby  and  J.  K.  Trumbull,  of  Ken- 
tucky; A.  McLain,  J.  Moats,  J.  Shutt,  M.  L.  Detter,  J.  McManus,  and  Samuel 
Stoufer,  of  Westmoreland,  Pa.,  ready  to  move,  provided  with  four  wagons, 
six  mules  to  each  ; necessary  provisions,  etc.”  This  item  gives  an  idea  of 
about  the  time  the  members  of  the  firm  left  for  the  gold  diggings. 


Regarding  the  origin  of  the  Massachusetts  and  California  Company,  the 
“ New  York  Tribune”  of  January  23,  1849,  stated  : “In  Northampton  (Mass.) 
Rev.  F.  P.  Tracy  is  the  agent  of  a company  who  have  raised  $6,000,  and  are 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


89 


soon  to  leave.”  In  the  same  paper,  February  3,  1849,  we  find  that  on  Jan- 
uary 26  the  brig  Mary  Wilder  cleared  for  the  Gold  Regions  with  the  Massa- 
chusetts and  California  Mining  and  Trading  Company.  In  another  issue  of 
the  paper,  giving  a tabulated  statement  of  the  companies  that  had  been  or- 
ganized to  go  to  California,  the  Massachusetts  and  California  Trading  Com- 
pany was  mentioned  as  having  a membership  of  150.  In  the  March  3 issue 
of  the  “ Tribune  ” the  following  very  valuable  and  interesting  information  is 
given,  which  explains  clearly  the  origin  of  this  Company  and  supplies  certain 
knowledge  which  those  devoted  to  the  pioneer  gold  series  have  vainly  sought 
for  many  years,  the  only  clue  previously  found  being  the  item  in  the  Jourtial 
for  January,  1898  (p.  91),  as  already  mentioned: 

The  Massachusetts  and  California  Company,  formed  in  Northampton,  Mass.,  which  origi- 
nally contemplated  a capital  of  only  $6,000,  has  increased  it  to  $50,000.  Only  a quarter  of  the 
amount,  however,  is  to  be  paid  in  at  the  outset.  Josiah  Hayden  of  Haydensville  is  President 
of  the  Company,  and  S.  S.  Wells  of  Haydensville,  Miles  G.  Moies,  and  others,  Directors.  Rev. 
F.  P.  Tracy  goes  out  to  California  as  its  active  agent.  It  is  the  intention  of  the  Company  to 
establish  a private  mint  at  California,  and,  with  the  approbation  of  the  Government,  to  make 
coins  of  the  same  denominations  of  the  coins  of  the  United  States,  and  of  equal,  if  not  a little 
higher,  value.  Mr.  William  H.  Hayden  goes  out  as  assayer,  having  qualified  himself  for  the 
purpose  by  a series  of  studies  under  Prof.  Silliman,  and  by  all  the  information  that  could  be 
obtained  at  the  United  States  Mint.  Mr.  Hayden  is  a graduate  of  Yale  College,  and  a son  of 
the  President  of  the  Company.  The  machinery  will  coin  about  $10,000  a day.  It  is  the  in- 
tention of  the  Company  to  purchase  gold-dust,  at  the  current  prices,  and  transform  it  into  coin 
for  circulation.  Should  the  Government  establish  a Mint  there,  it  will  be  worth  its  denomina- 
tional value,  or  more,  at  the  Mint.  The  agent  and  those  who  accompany  him  will  go  by  one 
of  the  land  routes. 


We  add  some  further  information  regarding  the  firm  of  “Norris,  Grieg  & 
Norris,”  mentioned  above.  It  would  seem  that  the  name  of  the  middle  mem- 
ber of  the  firm  was  “ Gregg,”  and  not  “ Grigg  ” or  “ Grieg  ” as  has  been 
stated.  A thorough  search  of  the  California  papers  failed  to  mention  this 
Company,  but  the  advertisement  as  given  below  in  a book  published  in  New 
York  in  1849,  explains  the  origin  of  the  firm  : 

Norris,  Gregg  & Norris,  Manufacturers  and  Dealers  in  Wrought 
Iron  Pipes,  and  Fittings  of  all  kinds,  for  Steam,  Water,  Gas,  &c.,  &c.  No. 

62  Gold  Street  (Between  Beekman  and  Fulton  Streets,  New  York).  Mills 
and  Public  Buildings  heated  by  steam.  Tubular  Boilers  of  various  sizes. 

Thos.  H.  Norris,  Charles  Gregg,  Hiram  A.  Norris. 


The  New  York  Directory  of  1849  gives  Thomas  H.  Norris,  civil  engineer, 
62  Gold  Street,  house  268  Jay  Street,  Brooklyn  ; Hiram  A.  Norris,  civil 


9o  PRIVATE  GOLD  COINAGE. 

engineer,  62  Gold  Street,  house  310  Gold  Street,  Brooklyn,  and  Charles 
Gregg,  engineer,  62  Gold  Street,  house  209  Pearl  Street,  Brooklyn.  Up  to 
the  present  no  information  dealing  with  this  firm’s  connection  with  private 
coinage  has  been  found,  although  the  sailing  list  of  a vessel  bound  for  Cali- 
fornia in  1849  mentions  the  name  of  H.  A.  Norris. 


In  the  “Tribune”  of  February  15,  1849,  we  find  an  account  of  the  sailing 
of  John  L.  Moffat  for  California;  the  reference  to  “a  sort  of  mint”  it  contains, 
proves  that  the  issue  of  private  coins  by  him  in  California  was  contemplated 
before  he  left  New  York,  and  was  not  due  to  local  conditions  upon  his  arrival 
there,  as  had  been  supposed  : 

The  good  bark  Guilford  sails  to-day  from  the  foot  of  Wall  Street.  Whatever  success  may 
attend  the  various  adventurers,  associated  or  individual,  they  will  require  a certain  medium  of 
circulation,  or  a fixed  standard  for  their  gold-dust.  This  end  may  be  obtained  through  the 
operations  of  Messrs.  Moffat  & Co.,  who  go  out  in  the  Guilford,  with  proper  assistants,  and 
most  complete  machinery  and  apparatus,  to  supply  the  want  of  Californians  ; in  other  words,  to 
establish  a sort  of  mint,  to  receive  the  gold-dust,  smelt  and  assay  it,  and  by  their  stamp  to  give 
it  a currency  and  value,  which  must,  in  the  absence  of  a Government  character,  be  received  by 
the  merchants  and  consumers.  Mr.  John  L.  Moffat,  known  as  the  standard  assayer  in  this  city 
for  many  years,  carries  with  him  testimonials  of  our  most  eminent  merchants,  bankers,  and  bull- 
ion dealers,  including  a certificate  of  the  strongest  character  from  Messrs.  Beebee,  Ludlow  & 
Co.,  the  heaviest  bullion  dealers  in  the  United  States  ; the  most  eminent  gold  dealers,  in  the 
city,  together  with  Hon.  R.  J.  Walker,  Secretary  of  the  Treasury,  have  indorsed  the  circular  of 
Messrs.  Moffat  & Co.  They  have  our  best  wishes  for  their  success. 


JOHN  LITTLE  MOFFAT. 

For  the  following  biographic  sketch  of  Mr.  Moffat  we  are  indebted  to  the 
kindness  of  R.  Burnham  Moffat  of  New  York  City,  a grandson,  who  in  1909 
prepared  and  privately  printed  the  “ Moffat  Genealogies. 

John  Little  Moffat  at  the  age  of  twenty-three  years  married  Hannah  Curtis,  daugh- 
ter of  Reuben  Curtis,  of  Danbury,  Conn.  Fourteen  children  were  born  to  them,  but 
only  five  survived  infancy,  and  but  three  of  those  five  married  and  had  issue.  Mr. 
Moffat  lived  in  New  York  City  from  his  marriage  until  about  the  middle  of  the  ’thirties, 
when  he  moved  to  Northern  Georgia,  in  the  valley  of  the  Nacoochie,  where  he  had  pur- 
chased some  gold  mines  which  he  had  begun  to  operate.  He  had  previously  owned  a 
gold  mine  in  North  Carolina,  and  on  three  separate  occasions  during  his  life  made,  and 
as  many  times  lost,  what  in  those  days  was  deemed  a very  substantial  fortune.  In  his 
youth  he  learned  the  trade  of  a silversmith,  and  throughout  his  life  found  satisfaction  in 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


91 

the  thought  that  he  “ had  a trade.”  Lack  of  persistence  seems  to  have  been  the  defect 
in  what  otherwise  was  a character  of  high  purpose,  charm,  and  manly  lovableness.  He 
was  identified  in  turn  with  the  Presbyterian,  Episcopalian,  Dutch  Reformed,  Quaker, 
Methodist,  and  Swedenborgian  faiths,  but  found  the  satisfaction  he  sought  in  none  of 
them  — except  possibly  in  the  last,  with  the  teachings  of  which  he  became  familiar  dur- 
ing the  closing  years  of  his  life. 

When  the  “ gold  fever  ” fell  upon  the  country,  following  the  discovery  of  gold  in 
California,  it  found  Mr.  Moffat  at  the  bottom  of  one  of  his  waves  of  financial  success, 
and  he  joined  the  throng  of  “forty-niners.”  ....  While  in  California  he  became  Assayer 
for  the  United  States  Government,  and  during  the  few  years  of  his  stay  there  estab- 
lished a reputation  for  unswerving  integrity  in  the  assaying  of  gold,  which  survived,  for 
many  years,  his  return  to  the  East.  He  died  in  Brooklyn,  N.  Y.,  at  the  home  of  his 
son,  Dr.  Reuben  Curtis  Moffat,  on  June  19,  1865,  at  the  age  of  seventy-seven  years, 
idolized  by  his  daughter  and  surviving  sons. 

Mr.  Moffat  was  born  at  Goshen,  N.  Y.,  February  12,  1788,  and  was 
seventy-three  years  of  age  when  the  photograph  (reproduced  in  the  plate) 
was  taken.  For  permission  to  use  this  we  wish  to  thank  Arthur  Moffat 
Allen,  a grandson  of  Mr.  Moffat.  It  is  said  to  be  the  only  one  extant. 


We  are  now  able  to  show  positively  that  Theodore  Dubosq,  senior  mem- 
ber of  the  firm  of  Dubosq  & Co.,  came  from  Philadelphia,  and  before  he  left 
for  the  gold  fields  of  California  had  contemplated  the  striking  of  private  coins. 
The  “ Philadelphia  Evening  Bulletin  ” of  January  18,  1849,  records  the  sailing 
of  the  Gray  Eagle,  and  gives  its  passenger  list,  in  which  appear  the  names 
of  Theodore  Dubosq,  Sr.,  Theodore  Dubosq,  Jr.,  and  Henry  A.  Dubosq. 
“ Mr.  Theodore  Dubosq,  jeweler,  North  Second  Street,  we  understand,  takes 
out  with  him  the  machinery  for  melting  and  coining  gold,  and  stamping  it 
with  a private  mark,  so  as  to  establish  a currency  which  will  afford  the  greater 
convenience  and  facility  for  dealing  in  the  raw  material.” 


Regarding  the  Cincinnati  Mining  and  Trading  Company,  the  “ Cincin- 
nati Gazette  ” of  March  10,  1849,  states  that  the  steamer  Bay  State,  Capt. 
Collier,  left  Cincinnati  on  March  10  with  the  Cincinnati  Company  aboard. 
(For  this  information  we  are  indebted  to  Henry  Clay  Ezekiel  of  Cincinnati.) 
The  “New  York  Tribune”  of  March  18,  1849,  states  that  on  March  10  the 
Company  started  overland  by  way  of  St.  Louis.  The  names  of  the  members 
were  given.  In  the  same  paper  of  July  7,  is  printed  a letter,  dated  May  17, 
written  to  a Cincinnati  newspaper,  by  a member  of  an  overland  company,  at 
Fort  Childs,  300  miles  west  of  Independence,  Mo.  From  the  date  and  con- 


92 


PRIVATE  GOLD  COINAGE. 


tents  there  can  be  little  doubt  that  this  was  the  Cincinnati  Company,  although 
no  mention  is  made  of  its  name.  The  letter  is  particularly  important  as  it 
shows  that  this  Company  really  did  take  its  coining  apparatus  with  it : 

On  the  ioth  we  arrived  at  the  junction  of  St.  Joseph’s  Road,  and  in  the  course  of  the 
morning  saw  so  many  wagons  that  we  thought  we  must  lighten  our  loads  and  get  in  advance  of 
the  tide  of  emigration,  or  our  mules  and  oxen  must  suffer  in  consequence  of  short  feed ; there- 
fore about  noon  we  stopped  and  held  a meeting,  and  passed  a resolution  appointing  a committee 
to  examine  all  the  wagons  and  throw  out  and  abandon  everything  that  was  not  absolutely 
necessary.  Accordingly  we  left  behind  the  wagon  that  we  purchased  for  carrying  corn,  which 
cost  $210 ; blacksmith  tools,  consisting  of  anvil,  forge,  sledge-hammers,  etc. ; about  200  mule 
shoes,  several  extra  axle-trees,  and  came  very  near  leaving  the  coining  apparatus,  most  of  the 
company  being  in  favor  of  so  doing,  it  being  very  heavy.  We  also  changed  the  sugar,  rice,  etc., 
from  boxes  into  bags.  While  we  were  engaged  in  this  business  a train  of  over  50  wagons 
passed.  They  reported  that  they  had  passed  between  600  and  700  wagons;  some  they  left  at 
St.  Joseph’s,  and  that  a great  many  of  them  had  to  throw  away  a part  of  their  loading,  almost 
every  one  loading  too  heavy.  One  team  they  passed  had  abandoned  1200  lbs.  of  bacon,  among 
other  things.  So  many  trains  have  started  that  fears  are  entertained  that  they  cannot  all  get 
through,  as  there  will  not  be  grass  enough  for  the  animals.  This  and  the  anxiety  to  get  to  the 
gold  diggings  as  soon  as  possible,  are  the  causes  of  property  being  abandoned.  Among  the 
wagons  that  passed  us  was  one  train  from  Georgia  with  a carriage  or  hack  containing  a man 
and  his  wife;  that  train  also  had  several  negroes  with  them.  Our  wagons  are  made  too  heavy 
and  strong.  There  are  none  like  them.  Other  trains  have  just  such  as  come  out  of  market  at 
Cincinnati,  many  of  them  poorer.  We  might  have  saved  $600  and  had  wagons  more  suited 
for  the  trip. 

There  are  two  companies  of  regulars,  mounted  riflemen,  stationed  here  for  the  protection 
of  the  encampments.  I stopped  at  the  store  and  found  it  full,  there  being  two  or  three  trains 
encamped  close  by.  Among  them  is  one  of  thirty  wagons  from  Alton,  111.  Almost  every 
article  can  be  had  at  an  advance  of  from  200  to  400  per  cent,  over  prices  in  the  United  States. 
The  sale  of  liquor  was  yesterday  prohibited  by  an  order  from  the  officer  at  the  Fort.  One 
man  told  me  that  he  bought,  previous  to  the  order  being  given,  fifteen  gallons  at  30  cents,  and 
had  since  been  offered  $8  per  gallon.  The  houses,  consisting  of  about  a dozen,  are  built  of 
turf  or  sod  cut  from  the  prairies,  having  a frame  of  wood  inside,  wood  being  very  scarce  — the 
nearest  on  this  side  of  the  Platte  being  thirty  miles.  We  have  been  all  the  forenoon  picking 
up  what  wood  we  cooked  our  dinner  with,  finding  it  stick  and  chip  at  a time,  from  old  encamp- 
ments. 

We  first  came  in  sight  of  the  Platte  yesterday,  and  struck  it  at  the  head  of  the  “Grande 
Island,”  as  it  is  called,  being  an  island  ninety  miles  long.  Near  us  are  encamped  a wagon  and 
six  men,  Mormons,  just  from  California.  I saw  a specimen  of  the  ‘ dust  ’ ; it  is  in  scales,  about 
the  size  of  a large  pin’s  head  hammered  out.  According  to  their  account,  there  is  enough  for 
all  who  go  ; but,  like  some  other  places,  it  takes  hard  work  to  procure  it.  The  specimen  I saw 
weighed  just  ten  dollars,  pure  gold  — this  was  all  they  had  convenient.  I asked  them  how 
much  they  had  made.  They  said  they  had  dug  until  they  were  satisfied,  and  had  all  they 
wanted,  which  must  be  a large  amount,  if  they  are  as  greedy  as  some  of  us.  One  of  them  told 
me  the  most  he  ever  made  in  the  shortest  time  was  $750  in  half  a day;  he  said  they  averaged 
$150  per  day  apiece. 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


93 


GEORGE  FERDINAND  ALBRECHT  KUNER. 

The  designing  of  a coin  is  always  an  important  part  of  its  history,  and  it 
seems  but  appropriate  that  in  connection  with  the  account  of  the  California 
private  coinage,  especial  mention  should  be  made  of  the  engraver  who  de- 
signed and  cut  the  dies  for  a majority  of  the  private  mints  which  did  business 
in  California  from  1849  UP  to  and  including  1855,  the  last  year  of  such  issues. 

George  Ferdinand  Albrecht  Kiiner,  more  familiarly  known  as  Albert 
Kiiner,  for  he  dropped  the  first  two  names  upon  his  arrival  in  San  Francisco, — 
was  born  at  Lindau,  Bavaria,  October  9,  1819,  learning  there  the  business  of 
a gold  and  silversmith.  When  he  first  came  to  the  United  States,  in  the  latter 
part  of  1848,  he  intended  to  follow  the  occupation  of  cameo  cutting,  in  which 
he  was  particularly  skillful ; but,  like  many  others,  he  was  attracted  to  Cali- 
fornia by  the  marvelous  gold  discoveries,  and  arrived  in  San  Francisco  July 
16,  1849. 

There  being  a great  need  for  a die-cutter  and  seal  engraver,  Mr.  Kiiner 
entered  the  employ  of  Moffat  & Co.,  who  were  then  smelting  and  assaying 
gold,  and  engraved  the  dies  for  the  first  Ten  Dollar  piece  of  private  manu- 
facture to  be  issued  on  the  coast,  which  bore  the  stamp  of  Moffat  & Co. 
Among  other  dies  he  cut  those  for  the  seal  of  California,  all  the  medals 
awarded  by  the  Mechanics’  Institute,  and  hundreds  of  others  issued  along  the 
Pacific  Coast  for  various  purposes  from  1849  until  within  a few  years  of  his 
death. 

He  started  in  business  for  himself  in  October,  1849,  on  Clay  Street,  next 
moving  to  Kearny,  between  Jackson  and  Pacific  ; but,  being  burned  out  in  May, 
1850,  he  returned  to  Clay  Street.  He  was  again  burned  out  in  May,  1851,  and 
then  went  to  Dr.  Mitthall’s  building,  on  Montgomery,  near  California.  In  1852 
he  moved  to  Washington  Street,  using  a part  of  Braverman  & Levy’s  store, 
where  he  remained  fifteen  years.  He  then  removed  to  the  building  occupied 
by  Wores,  the  hatter,  where  he  continued  seventeen  years.  In  1884  he 
moved  to  704  Montgomery  Street,  where  he  remained  until  1891. 

He  was  painstaking  and  methodical,  and  had  a carefully  prepared  record 
of  each  specimen  of  his  handicraft — impressions  in  wax,  dies,  etc.,  nearly  all 
of  which,  with  his  papers,  were  destroyed  in  the  great  fire  when  his  residence 
at  the  corner  of  Golden  Gate  Avenue  and  Gough  Street  was  burned.  How- 
ever, a record  of  many  of  the  coins  for  which  he  cut  the  dies  remains  in  his 
personal  copy  of  the  book  issued  by  Eckfeldt  & Dubois  in  1851.  He  made  a 
memorandum  in  his  own  handwriting  over  each  illustration  of  the  various 
California  coins  engraved  by  him.  Guided  by  these  notes  we  find  that  he 
made  the  dies  of  the  N.  G.  & N.  Five  Dollar  piece,  the  Five  and  Ten  Dollars 


94 


PRIVATE  GOLD  COINAGE. 


of  Moffat  & Co.,  dated  1849  ar>d  1850;  the  Schultz  & Co.  Five  Dollars  of 
1851  ; the  Dunbar  & Co.  Five  Dollars  dated  1851  ; the  Baldwin  Five,  Ten, 
and  Twenty  Dollars  of  1850  and  1851  ; and  the  Fifty  Dollar  octagonal,  with 
the  denomination  reading,  “Fifty  Dolls.”  and  the  name  on  the  obverse  around 
the  border. 

The  illustrations  of  the  Miners’  Bank  Ten  Dollars,  the  Pacific  Company 
Five  and  Ten,  the  Massachusetts  and  California  Five,  the  Templeton  Reid 
Ten  and  Twenty-five,  the  Cincinnati  Mining  and  Trading  Company  Five  and 
Ten,  the  “ J.  S.  O.”  Ten,  and  the  Dubosq  & Co.  Five  and  Ten  Dollar  coins 
were  not  marked,  and  therefore  were  not  his  work. 

He  also  engraved  the  dies  for  all  of  the  coins  issued  by  Wass,  Molitor 
& Co.,  as  well  as  those  for  the  Deseret  Assay  Office  Five  Dollar  piece  of 
Utah,  dated  i860.  Robert  Schaezlein,  his  close  friend,  says  that  after 
Mr.  Kiiner  received  the  commission  to  cut  the  dies  for  this  Mormon  piece 
he  showed  him  the  first  impression,  struck  before  the  date  and  inscription 
had  been  added.  This  was  the  identical  gold  pattern  piece,  presented  to 
Brigham  Young,  which  is  said  to  have  hung  on  the  watch  chain  of  the  Mor- 
mon leader  as  a charm.  Upon  Mr.  Young’s  death  the  watch,  chain  and  pat- 
tern piece  were  sold  for  $300,  and  are  said  to  be  now  in  the  possession  of 
the  Mormon  Church  at  St.  Lake  City.  We  learn  that  this  pattern  was  the 
one  that  showed  mountains  back  of  the  reclining  lion,  and  which  were  omitted 
from  the  regular  Deseret  Assay  Office  Five  Dollar  piece  issued  for  circulation. 

One  of  his  daughters  has  wax  impressions  of  some  of  his  pieces,  among 
which  are  the  W.  M.  & Co.  Five  of  1852,  the  Schultz  & Co.  Five  of  1851, 
the  Baldwin  Twenty  of  1851,  and  a reverse  showing  an  eagle  and  the  inscrip- 
tion, “ Pure  California  Gold.”  One  of  the  cards  bearing  a wax  impression 
contained  this  memorandum : 

Impression  taken  from  the  die  while  it  was  being  engraved  in  the  month  of  July,  1849, 
by  A.  Kiiner,  engraver  with  Moffat  & Co.,  at  the  southeast  corner  of  Montgomery  and  Jackson 
Streets. 

This  was  the  Ten  Dollar  piece  of  Moffat  & Co.  of  1849,  but  it  had  neither 
date  nor  inscription,  and  was  the  first  private  coin  of  the  denomination  to  be 
issued  in  the  extensive  California  series. 

He  was  paid  $600  for  the  die  for  the  first  State  seal  of  California,  and 
in  1883,  when  it  became  necessary  to  renew  it,  journeyed  to  Sacramento 
and  engraved  the  new  seal,  for  which  he  received  $300.  He  stated  to  Mr. 
Schaezlein  that  he  received  as  much  as  $500  for  a pair  of  coin  dies  in  the 
pioneer  days.  A wax  impression  of  the  first  seal  was  in  his  possession 
for  many  years,  but  was  destroyed  in  the  fire  of  1906.  There  was  a great 


VARIOUS  CALIFORNIAN  PRIVATE  MINTS. 


95 


scarcity  of  metal  in  San  Francisco  in  1849,  and  when  he  received  the  com- 
mission to  engrave  the  seal  he  found  it  necessary  to  go  around  the  neighbor- 
hood and  pick  up  scraps  of  metal  from  which  to  make  the  first  die. 

In  1862,  when  the  Government  of  British  Columbia  contemplated  an 
issue  of  local  gold,  the  order  to  prepare  the  dies  was  given  to  him  and  he  cut 
those  from  which  were  struck  the  excessively  rare  Ten  and  Twenty  Dollar 
pieces,  dated  1862  and  bearing  the  name  of  “ British  Columbia,”  of  which 
but  few  sets  are  now  known  to  be  in  existence.  One  of  these  is  in  the 
British  Museum,  and  another  brought  a large  sum  at  the  Montague  sale  some 
years  ago. 

Before  turning  over  the  dies  to  the  Government  of  British  Columbia,  he 
struck  a few  trial-pieces  in  silver  on  a coining  press  which  Lemme  Brothers 
had  brought  from  Germany.  The  existence  of  these  trial-pieces  seems  to 
have  been  unknown  until  recently,  following  the  investigations  of  the  author 
in  California. 

It  has  been  stated  by  one  of  his  biographers  that  he  engraved  the  dies 
for  the  coins  of  Broderick  & Kohler  — supposed  to  have  been  the  Pacific 
Company  pieces  ; but  this  is  certainly  an  error,  for  in  his  copy  of  Eckfeldt 
& Dubois’s  book,  as  stated  above,  he  made  a careful  memorandum  over 
each  of  the  coins  engraved  by  him,  and  the  spaces  over  the  Pacific  Company 
coins  were  left  blank.  He  also  wrote  his  name  opposite  each  coin  in  the 
Index  of  California  coins  in  another  part  of  the  same  book,  and  in  this  again 
he  omitted  any  mention  of  the  coins  of  the  Pacific  Company. 

A.  Reimers  of  San  Francisco,  another  warm  friend,  states  that  Mr.  Kuner 
told  him  that  he  had  engraved  the  dies  for  the  N.  G.  & N.  Five  Dollar  piece, 
and  that  these  men  were  Stockton  merchants,  who  expected  to  use  the  coins 
at  the  mines  in  the  lower  part  of  the  State;  and  we  find  that  he  made  a 
memorandum  in  the  book  cited  to  that  effect,  but  there  must  be  some  error, 
or  this  firm  issued  two  different  designs,  judging  by  a paragraph  taken  from 
the  “Alta  California”  of  May  31,  1849,  which  said  that  a gold  coin  of  Norris, 
Grieg  & Norris,  of  the  usual  design,  had  just  come  to  hand  ; and  that,  al- 
though it  bore  the  name  “ San  Francisco,”  it  was  nevertheless  struck  at  the 
instance  of  the  above-named  firm,  who  were  located  at  Benicia.  This  date, 
which  must  have  been  accurate,  is  several  weeks  before  his  arrival  at  San 
Francisco,  on  July  16,  1849.  Of  course  it  is  possible  that  he  cut  the  N.  G. 
& N.  dies  before  he  got  to  that  city. 

Mr.  Kiiner  painted  in  water  colors,  and  during  his  leisure  moments  exe- 
cuted many  exquisite  examples  of  the  engraver’s  art  in  different  materials, 
principally  mother-of-pearl,  which  he  presented  to  his  wife  and  children  from 
time  to  time.  All  of  these  works,  of  which  none  was  ever  made  on  a com- 


96 


PRIVATE  GOLD  COINAGE. 


mission,  were  of  original  conception  and  of  the  most  delicate  and  artistic 
workmanship,  and  are  still  carefully  preserved  by  various  members  of  his 
family. 

He  was  a great  lover  of  animals,  and  especially  skillful  in  depicting  them. 
An  example  of  the  magic  touch  of  the  artist  is  shown  by  his  wife  in  the  shape 
of  a napkin  ring  which  he  carved  from  a bone  picked  up  at  random.  In  a 
mass  of  the  most  delicate  carving  is  traced  a continuous  scene  of  a grizzly 
bear  hunt  in  the  mountains  by  two  hunters  ; their  start  in  the  morning,  their 
fight  with  the  bear,  the  evening  camp,  the  dead  bear  at  one  side,  the  guns 
resting  against  a tree,  and  the  hunters  rehearsing  the  day’s  exploit,  are  grace- 
fully given. 

He  engraved  all  the  seals  for  Wells,  Fargo  & Co.,  from  1852,  the  first 
year  of  the  firm’s  existence,  until  the  day  of  his  death.  They  always  turned 
their  work  over  to  him,  and,  though  retired  from  all  other  business,  he  took 
care  of  this  one  commission. 

He  died  on  January  23,  1906,  at  the  age  of  eighty-six  years,  being 
survived  by  a wife,  three  daughters,  and  one  son. 


We  received  too  late  for  insertion  in  its  regular  order,  the  following  description  of 
a Ten  Dollar  piece  struck  by  Wass,  Molitor  & Co. : — 

1855. 

51  A — Ten  Dollars.  Obverse , Head  of  Liberty  to  the  right.  On  the  coronet  the  letters  w.  m. 
& co.  Around  the  border  are  thirteen  stars.  Below  the  bust  is  the  date,  1855.  The  last  figure  5 in 
the  date  seems  to  have  been  set  in  a circular  plug.  Reverse , An  eagle  with  arrows  and  an  olive  branch 
in  his  talons.  Around  the  border,  s.  m.  v.  California  gold  ten  d.  The  olive  branch  points  below 
the  letter  s. 


GEORGE  ALBERT  FERDINAND  KUNER. 


No.  14. 


No.  19. 


No.  20. 


No.  16. 


No.  9. 


PRIVATE  GOLD  COINAGE.  VARIOUS  MINTS. 


No.  17. 


No.  21 . Rev. 


Nos.  24,  25.  Rev. 


No.  25.  Obv. 


No.  24.  Obv. 


No.  28.  Obv. 


No.  27. 


No.  28.  Rev. 


No.  33. 


No.  36. 


No.  41. 


PRIVATE  GOLD  COINAGE,  VARIOUS  MINTS. 


JOHN  LITTLE  MOFFAT. 
Senior  Member  Firm  of  Moffat  & Co. 


Member  Firm  of  Shultz  & Co. 


JOHN  GLOVER  KELLOGG, 

Senior  Member  of  the  Firm  of  Kellogg  & Co. 


lefia 


PRIVATE  GOLD  COINAGE.  VARIOUS  MINTS. 


>SCO  !< 

, .,M'  >M‘ l*t 


liviuunn 


AiOLlT 


,uninuiu 


PRIVATE  GOLD  COINAGE.  VARIOUS  MINTS. 


PRIVATE  GOLD  COINAGE. 


IV. 


Pattern  and  Experimental  Pieces 

OF  CALIFORNIA. 

1849-53. 


BY 

EDGAR  H.  ADAMS. 


NEW  YORK. 
1912. 


REPRINTED  FROM 

THE  AMERICAN  JOURNAL  OF  NUMISMATICS. 
1912. 


Copyright,  1912, 
Edgar  H.  Adams. 


IV. 


PATTERN  AND  EXPERIMENTAL  PIECES 

OF  CALIFORNIA. 

1849-1853. 


Of  equal  interest  to  the  gold  struck  by  the  different  minting  firms  in 
California  for  use  as  coins,  are  the  Pattern  pieces  of  various  denominations, 
made  from  dies  evidently  intended  for  the  same  purpose,  but  which  for  one 
reason  or  another  were  abandoned.  Nearly  all  these  Pattern  dies  were  made 
in  the  East,  and  it  is  usually  from  some  Eastern  source  that  specimens  come 
to  notice.  As  related  by  an  old  California  pioneer,  in  1849  many  of  the  Com- 
panies organized  to  seek  fortune  in  the  California  gold-fields  carried  with 
them  coining  apparatus  of  some  kind.  In  a few  instances  heavy  machinery 
was  taken  along,  as  in  the  case  of  the  Cincinnati  Mining  and  Trading  Com- 
pany, while  in  others  it  is  probable  that  the  coinage  equipment  consisted 
mainly  of  a few  sets  of  dies ; but  it  is  not  likely  that  much  of  this,  beyond  the 
dies,  reached  California  by  the  overland  route. 

In  the  statement  of  a member  of  the  Cincinnati  Company  he  says  that 
when  only  three  hundred  miles  west  of  Independence,  Mo.,  they  were  begin- 
ning to  lighten  their  wagons  of  the  weightier  articles,  and  were  considering 
the  abandonment  of  their  “ heavy  coining  apparatus.”  At  this  point  the  Com- 
pany had  little  more  than  started  on  their  long  and  trying  journey.  Two 
huge  mountain  ranges  were  yet  to  be  crossed,  with  many  miles  of  intervening 
desert,  and  it  is  very  safe  to  conjecture  that  their  machinery  was  abandoned 
long  before  they  reached  the  Rocky  Mountains.  When  travel  had  become  so 
difficult  that  such  important  articles  of  food  as  bacon  and  beans  were  becom- 
ing a burden  to  many  of  the  overlanders,  it  is  easy  to  guess  the  fate  of  the 
“ heavy  apparatus.”  Along  the  overland  trail  from  Fort  Laramie,  and  on 
through  the  South  Pass,  the  route  in  1849  was  strewn  with  thousands  of  dol- 
lars’ worth  of  abandoned  property  of  every  sort  — food,  furniture,  stoves,  hard- 


98 


PRIVATE  GOLD  COINAGE. 


ware  and  tools  of  all  kinds,  wagons,  etc.,  and  many  of  the  adventurers,  on 
account  of  the  exhaustion  of  their  draught  cattle,  made  up  packs  and  con- 
tinued their  way  on  foot. 

In  the  case  of  the  Massachusetts  and  California  Company  it  is  not  prob- 
able that  their  coinage  exceeded  the  striking  of  a few  trial  pieces  in  gold, 
silver,  and  copper.  As  this  Company  was  transported  to  California  by  ship, 
their  coining  apparatus  no  doubt  reached  its  destination.  All  their  silver  and 
copper  trial  pieces,  it  is  thought,  were  made  in  the  East,  though  the  few 
known  gold  pieces  may  have  been  struck  in  California. 

The  existence  of  a Five  Dollar  die  bearing  the  United  States  Assay  Office 
design  indicates  the  intention  of  that  establishment  to  issue  a piece  of  that 
denomination.  This  had  evidently  been  engraved  in  1851,  at  the  time  the 
Ten  and  Twenty  Dollar  dies  were  made,  which  show  an  overstruck  date,  as 
coins  from  the  latter  dies  were  not  struck  until  1852.  It  was  expected  by  the 
Assay  contractors  that  the  Secretary  of  the  Treasury  would  give  authority  to 
strike  all  the  regular  denominations  of  United  States  gold.  Of  course,  as  will 
be  seen  by  reference  to  the  letter  allowing  the  Assay  Office  to  coin  lower 
values  than  Fifty  Dollars,  the  authority  clearly  specified  only  the  Ten  and 
Twenty  Dollar  pieces,  and  the  plan  of  making  Five  Dollar  pieces  had  to  be 
given  up. 

The  Pattern  pieces  bearing  the  name  of  T.  Dubosq  are  of  considerable 
interest.  It  is  not  unlikely  that  impressions  in  gold  from  these  dies  may  even 
yet  make  their  appearance.  Mr.  Dubosq  reached  California  in  time  to  engage 
in  striking  private  coins  in  1849,  and  it  is  difficult  to  see  why  he  did  not  do 
so.  There  was  then  a great  need  of  such  pieces  ; he  was  prominent  in  busi- 
ness affairs  in  San  Francisco,  irrespective  of  his  coinage  operations,  and  en- 
joyed a high  reputation. 

The  interesting  design  for  a Twenty  Dollar  piece  bearing  the  stamp  of 
Wass,  Molitor  & Co.,  suggests  that  we  may  yet  see  this  in  gold.  However, 
up  to  the  present  time,  Mr.  Granberg’s  specimen,  of  which  an  illustration 
(92)  is  shown,  is  the  only  example  from  the  dies  known  to  be  extant. 

The  Twenty  Dollar  piece  in  copper  bearing  the  stamp  of  the  Cincinnati 
Mining  and  Trading  Company  is  the  only  one  known  to  exist;  the  Company 
evidently  intended  to  issue  a piece  of  that  denomination,  and  it  may  be  that 
this  was  the  very  first  die  made.  It  certainly  antedated  the  Mormon  Twenty 
Dollar  piece  by  some  time,  and  was  far  ahead  of  the  United  States  Double 
Eagle,  which  was  not  made  until  the  latter  part  of  1849.  It  is  related  that 
this  piece  was  obtained  from  a miner  in  Salt  Lake  City,  and  that  he  had 
carried  it  for  a long  time  as  a pocket  piece.  It  may  have  been  brought  to 
the  Mormon  capital  by  one  of  the  members  of  the  Company. 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


99 


The  Model  Half  Eagle,  Quarter  Eagle,  gold  Dollar,  and  gold  Half  Dollar 
series  is  one  of  which  nothing  is  known  : as  the  design  indicates,  they  were 
undoubtedly  intended  as  Patterns  for  private  coinage.  It  is  not  hard  to  un- 
derstand why  they  were  not  adopted.  Very  little  need  was  felt  for  gold  of 
the  smaller  values,  and  extremely  few  such  pieces  were  issued  by  the  private 
mints.  Coinage  was  confined  to  denominations  of  Five  Dollars  and  above, 
and  specimens  of  lower  value  are  nearly  all  trial  pieces  or  Patterns,  which  were 
never  issued  for  regular  circulation.  Facilities  were  so  limited  that  these  lower 
values  could  not  have  been  made  to  advantage.  A large  profit  was  necessary, 
for  without  it  the  private  coiners  could  not  have  operated  successfully,  owing 
to  the  extremely  high  cost  of  labor  and  materials  in  1849  and  the  early  ’fifties. 

THEODORE  DUBOSQ. 

57  — Five  Dollars.  Obverse , T.  dubosq  across  the  field,  encircled  by  thirteen  stars.  At  the 
bottom  is  the  date,  1849  Reverse , An  eagle  of  the  usual  type,  with  shield ; around  the  border  s m v 
CALIFORNIA  GOLD  FIVE  DOL. 

This  piece  is  described  by  Dr.  R.  Coulton  Davis,  but  there  is  no  record  obtainable 
showing  where  a specimen  has  been  sold.  In  Mr.  Groh’s  book  of  “ Rubbings  ” in  the 
library  of  The  American  Numismatic  Society,  is  to  be  seen  one  of  this  coin.  As  Dubosq 
was  a jeweler  by  profession,  it  is  supposed  that  he  engraved  the  dies  for  all  his  coins. 

58 — Two  and  a Half  Dollars.  Obverse , t.  dubosq  across  the  field,  encircled  by  thirteen  stars. 
The  date  1849  below.  Reverse , An  eagle  similar  to  that  on  57,  bearing  a shield,  surrounded  at  the 
border  by  smv  California  gold  and  2^6  dol.  below.  Copper. 

A fine  specimen,  supposed  to  be  unique,  was  offered  at  the  Bushnell  sale.  J.  Schul- 
man,  of  Amsterdam,  recently  sold  an  example  of  the  same  design  in  copper,  in  fine  con- 
dition. Another  fine  specimen,  in  copper,  was  offered  at  the  Levick  1884  sale.  Through 
the  kindness  of  H.  O.  Granberg  I am  able  to  show  an  illustration  of  this  interesting 
Pattern,  which  I believe  is  the  Schulman  piece. 

MASSACHUSETTS  AND  CALIFORNIA  COMPANY. 

59  — Five  Dollars.  Obverse , On  a shield  supported  by  a bear  and  stag,  a cowboy;  a crest 
above  as  on  37;  alta  on  a ribbon  below.  Around  the  border,  thirteen  stars.  Reverse , An  open  olive 
wreath  inclosing  five  d.  in  two  lines.  Around  the  border,  Massachusetts  & California  co.  and 
below  is  the  date  1849.  Silver  and  copper. 

A fine  specimen  in  silver  brought  $4.25  at  the  Parmelee  sale  ; another  in  silver 
brought  $3.10  at  the  Levick  sale;  one  in  copper  brought  $1.55  at  the  R.  C.  Davis  sale, 
and  another  in  silver  sold  for  $72.50  at  the  Zabriskie  sale.  This  has  the  design  of  the 
two  specimens  known  in  gold.  A fine  example  in  silver  is  owned  by  Fred.  T.  Huddart 
of  San  Francisco ; it  is  from  exactly  the  same  die  as  37. 


IOO 


PRIVATE  GOLD  COINAGE. 


60  — Five  Dollars.  Obverse , Same  design  as  the  foregoing.  Reverse , The  same  as  last,  but 
the  wreath  is  closed  at  the  top.  Copper. 

A very  fine  example  brought  $2.19  at  the  Levick  sale.  The  only  located  speci- 
men of  this  variety  is  in  the  collection  of  Malcolm  N.  Jackson,  of  Boston,  who  kindly 
loaned  it  to  be  illustrated. 

61 — Five  Dollars.  Obverse , Similar  to  the  foregoing,  but  from  an  entirely  different  die.  The 
workmanship  is  not  so  good,  and  the  design  somewhat  rude.  The  border  is  broader.  Reverse , A 
small  wreath  of  leaves  in  the  centre  surrounded  by  a circle  of  thirteen  stars.  There  is  no  denomina- 
tion. Around  the  border  the  same  inscription  as  on  59  and  60.  Copper. 

An  impression  brought  £2.30  at  the  Levick  sale.  A specimen  of  the  same  design, 
somewhat  mutilated,  also  in  copper,  brought  $31  at  the  Zabriskie  sale.  In  an  issue  of 
the  Titusville  Circular  a Massachusetts  & California  Five  Dollar  piece  in  brass  is  men- 
tioned, but  which  of  the  three  above  described  does  not  appear. 


MINERS’  BANK. 

62  — Ten  Dollars.  Obverse , miners  . bank  . above,  » ten  . d.  « on  the  field,  and  san  Francisco  . 
below,  as  shown  on  the  Ten  Dollar  gold  piece  of  the  Miners’  Bank  issue  (38).  Reverse,  Eagle  as  on 
that,  with  California  above,  and  thirteen  stars  around  the  border  below.  Copper. 

A good  specimen  brought  $1.75  at  the  Parmelee  sale;  another  sold  for  $3  at  the 
Levick  1884  sale  ; still  another,  in  fine  condition,  brought  $2  at  the  Scott  Stamp  & Coin 
Co.  sale,  June  26-27,  1893.  This  seems  to  have  been  struck  from  the  regular  dies 
of  the  Miners’  Bank  Ten  Dollar  piece,  already  illustrated. 

PACIFIC  COMPANY. 

63 — Two  and  a Half  Dollars.  Obverse  and  Reverse,  In  all  respects  the  same  as  those  of  the 
Pacific  Company  coins  which  were  struck  for  circulation  (27  and  28),  except  that  the  reverse  reads  2Va 
dollars.  Silver. 

There  are  only  two  known  specimens  of  this  variety.  One  is  in  the  collection  of 
H.  O.  Granberg,  which  he  has  kindly  loaned  for  illustration.  The  other  is  in  the  collec- 
tion of  Virgil  M.  Brand. 

64  — Dollar.  Obverse  and  Rez’erse,  The  same  designs  as  those  of  the  other  Pacific  Company 
coins.  Tin. 

There  is  only  one  example  known  in  any  metal,  which,  in  good  condition,  brought 
$1.05  at  the  Levick  sale. 

65  — Dollar.  Obverse,  The  same  as  that  of  the  Pacific  Company  Dollar  (29),  with  1 dollar 
below  the  Liberty  cap.  Reverse,  None  of  its  own.  Struck  over  a Spanish  Real  of  1 776.  Good 
condition,  and  unique.  Silver. 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


IOI 


This  piece  is  described  in  the  Catalogue  of  the  sale  of  Ed.  Frossard’s  collection, 
1884.  At  that  time  it  was  thought  to  have  been  a private  token  of  the  period  1834- 
1838,  and  it  brought  $9.10.  It  is  now  in  the  collection  of  H.  O.  Granberg. 

COLUMBUS  COMPANY. 

66  — Five  Dollars.  Obverse , columbus  1849  company.  Reverse , California  gold,  dol’s. 
Within  a double  circle  in  the  centre  is  the  Arabic  figure  5 . Silver,  unique,  and  copper. 

A specimen  in  silver,  with  Feb.  15  scratched  in  the  field,  but  otherwise  in  fine 
condition,  brought  $3.25  at  the  Parmelee  sale.  A fine  example  in  copper  brought  $2.75 
at  the  Levick  sale. 

Nothing  whatever  is  known  concerning  the  origin  of  this  piece,  nor  where 
either  of  these  examples  now  are.  Judging  by  the  name,  it  is  not  unlikely 
that  this  was  struck  by  a Company  organized  at  Columbus,  Ohio.  It  was 
customary  for  the  Companies  of  adventurers  preparing  to  go  to  California  in 
1849  to  give  their  organization  the  name  of  their  home  city. 

MORAN  & CLARK. 

67 — Ten  Dollars.  Obverse , Inscription  in  five  lines,  California  gold  above  and  moran  & 
Clark  below  warranted  | * 10  dolls.  * | mint  val*  Reverse , san  Francisco  above,  and 
California  below,  around  the  border.  Within  a wreath  11  dwt.  8 GR  | 20 carat  in  two  lines, 
above  and  beneath  which  is  a star.  A five-pointed  star  on  each  side  the  wreath  divides  the  legend. 
Copper. 

It  is  not  supposed  that  there  are  many  trial  pieces  of  this  design.  One  in  the 
Levick  sale  of  May  26-29,  1884,  brought  $2.60;  another,  in  copper,  brought  62  cents 
at  the  Leonard  & Co.  sale  at  Boston,  May  14,  1862,  and  still  another  impression  sold 
for  a few  dollars  at  the  recent  Ulex  sale  in  Frankfort,  Germany.  The  latest  specimen 
to  be  offered  in  this  city  was  the  one  with  milled  edge,  struck  in  copper,  sold  by  Low 
at  the  Comstock  sale,  Sept.  16,  1903,  for  $5.25.  A fine  example  brought  about  $80  in 
a recent  sale  by  Henry  Chapman. 

While  the  Pattern  piece  bearing  this  stamp  shows  the  imprint  of  San 
Francisco,  the  firm  of  Moran  & Clark  was  located  at  Sacramento.  The  piece 
was  probably  issued  late  in  1849  or  in  1850.  A reference  to  the  firm  has  been 
found  in  the  “ New  York  Spirit  of  the  Times,”  of  Jan.  18,  1851,  where  a cor- 
respondent from  Sacramento,  in  a letter  dated  Nov.  28,  1850,  says:  “Mr. 
Dan  Moran,  formerly  of  Moran  & Clark,  of  this  city,  is,  I believe,  in  New 
York,  doing  there  a large  auction  business.”  Mr.  Huddart  has  kindly  loaned 
his  specimen  to  be  illustrated. 


102 


PRIVATE  GOLD  COINAGE. 


CINCINNATI  MINING  AND  TRADING  COMPANY. 

68 — Twenty  Dollars.  Obverse  and  Reverse , The  same  designs  as  the  other  pieces  of  the  Com- 
pany (30  and  31),  but  the  reverse  reads  twenty  dollars.  In  diameter  it  is  somewhat  smaller  than 
the  regular  Double  Eagle.  Copper,  unique. 

This  is  the  only  known  specimen  of  the  denomination  in  any  metal,  and  is  in  some- 
what worn  condition,  having  been  carried  as  a pocket-piece  for  a long  time,  the  owner 
not  being  aware  of  its  value.  It  brought  $125  at  an  Elder  sale  two  or  three  years  ago. 
It  is  now  in  the  collection  of  H.  O.  Granberg.  Thanks  are  herewith  expressed  to  that 
gentleman  for  loaning  it  for  our  illustration. 

69  — Five  Dollars.  Obverse  and  Reverse,  As  3 1 ; a trial-piece  from  the  regular  dies  of  the  de- 
nomination. Copper,  unique.  In  the  collection  of  H.  O.  Granberg.  Illustrated  with  the  gold  (3 1). 


SAN  FRANCISCO  STANDARD  MINT. 

70  — Five  Dollars.  Obverse,  5 dollars  san  Francisco  standard  mint.  22  carat  fine. 
Reverse,  Plain.  Tin. 

A proof  in  tin  brought  $1.60  at  the  McCoy  sale  of  May  17-21,  1864.  This  is 
the  only  specimen  that  can  be  located. 

MEYERS  & COMPANY. 

71  — Obverse,  warranted  4 oz.  troy.  u.  s.  standard.  No  reverse.  Struck  over  a United 
States  Cent.  Sold  for  $ 1.60  at  the  1884  Levick  sale. 

There  is  no  denominational  value  on  this  piece ; from  its  inscription  the  die  was  in- 
tended simply  as  a stamp  for  one-half  an  ounce  of  gold ; as  the  market  rate  for  gold  was 
$16  an  ounce,  this  was  equivalent  to  about  a Half  Doubloon. 

J.  S.  ORMSBY  & COMPANY. 

72 — Ten  Dollars.  Obverse,  united  states  of  America,  cal.  and  .j  .s  .0  in  the  field.  Re- 
verse, A circle  of  thirty-one  stars  around  the  border.  In  the  field,  in  two  lines,  10  | dolls.  Silver. 

This  was  struck  from  the  regular  dies  of  the  Ormsby  Ten  Dollar  piece  (32).  Said 
to  be  in  the  collection  of  Virgil  M.  Brand.  At  the  Scott  Stamp  & Coin  Co.’s  sale  of 
the  Herman  collection,  June  26-27,  1893,  a J.  S.  O.  of  the  usual  design,  struck  over  a 
silver  Two-real  piece  of  Ferdinand  VII,  of  the  Mexico  mint,  dated  1815,  size  27^,  in 
good  condition,  brought  $4.  At  the  Cleveland  sale,  by  Low,  of  Feb.  28,  1903,  the  J. 
S.  O.  piece,  struck  on  a Spanish  Two-real  of  Ferdinand  VII,  in  good  condition,  brought 
$12.75.  Evidently  these  last  two  are  identical.  The  one  in  the  Brand  collection  is 
supposed  to  be  unique.  This  was  illustrated  under  the  gold  (32). 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


J.  H.  BOWIE. 

73 — One  Dollar.  Obverse , J.  H.  bowie  above,  1 on  the  field,  and  dol.  below.  At  the  left  is 
24  G and  at  the  right  24  C.  Reverse , A pine  tree,  with  cal.  above  and  gold  below.  The  border 
and  edge  are  plain.  Copper. 

This  piece,  struck  in  copper,  is  unique  so  far  as  known,  and  nothing  has  been 
learned  concerning  its  history.  This  specimen  brought  $35  at  the  Stickney  sale.  By 
the  courtesy  of  Malcolm  H.  Jackson  of  Boston,  the  present  owner  of  this  rarity,  we  are 
enabled  to  give  an  illustration  of  the  piece. 


PELICAN  COMPANY. 

74 — Two  and  a Half  Dollars.  Obverse , pelican  CO.  1849  with  a large  star  in  the  centre  of 
the  field.  Reverse , California  2Ys  dolls,  around  the  border.  In  the  field,  21  carats.  Brass. 

This  piece,  so  far  as  known,  is  unique.  It  was  disposed  of  at  the  Zabriskie  sale  in 
1909,  for  $105.  Nothing  has  been  learned  of  its  history,  and  it  is  the  only  one  of  the 
design  in  any  metal  which  has  as  yet  been  discovered. 


CALIFORNIA  GOLD  MINES. 

75 —  Twenty  Dollars  (?)  Obverse,  Two  bears  embracing;  around  the  border  is  the  legend,  Cal- 
ifornia gold  mines  A.  D.  1850  Below  the  ground  under  the  right-hand  bear  is  a tiny  L.  Reverse, 
An  eagle  with  wings  displayed,  on  a wheat  sheaf ; five  five-pointed  stars  above.  Around  the  border 
California  gold  mines  1850.  Milled  edge.  Struck  in  brass  and  copper. 

This  piece,  which  from  the  splendid  manner  in  which  the  dies  were  en- 
graved would  lead  us  to  suppose  that  it  had  been  intended  for  a Pattern 
private  coinage,  is  thought  to  have  been  the  work  of  William  Lemme,  a San 
Francisco  engraver  of  the  pioneer  days.  A.  Reimers,  the  San  Francisco  collec- 
tor, however,  inclines  to  the  belief  that  as  it  has  no  value  stated  upon  it,  it  was 
one  of  the  counters  so  extensively  used  in  California  gambling  houses,  and 
properly  belongs  to  the  same  class  of  tokens  as  the  flag  and  steamship  count- 
ers. Others,  because  of  its  style  of  workmanship,  have  thought  it  was  pro- 
duced some  time  after  the  pioneer  days,  but  this  opinion  is  not  supported  by 
facts.  Farran  Zerbe  has  an  impression  which  he  obtained  from  an  old  lady 
in  Cumberland,  Md.  It  came  to  her  from  her  brother,  a “ Forty-niner,”  and 
she  stated  it  had  been  in  the  family  for  fifty  years.  A specimen,  gilt  proof, 
brought  $3.60  at  the  Levick  1884  sale.  They  are  rather  rare.  Thanks  are 
extended  to  Elliott  Smith,  of  New  York,  for  his  kindness  in  loaning  his 
example  for  illustration. 


104 


PRIVATE  GOLD  COINAGE. 


SAN  FRANCISCO,  STATE  OF  CALIFORNIA. 

76 —  Twenty  Dollars.  Obverse , Head  of  Liberty  surrounded  by  thirteen  stars ; liberty  on  the 
coronet ; date,  1851  below.  Reverse , The  arms  of  California : a seated  female  figure,  gazing  through 
the  “ Golden  Gate,”  a bear  at  her  feet,  and  a miner  in  the  background.  Below  the  figure,  in  the  ex- 
ergue, is  the  denomination,  20  d.  Legend,  san  Francisco  state  of  California  Silver,  copper  and 
white  metal. 

Through  the  kindness  of  Fred.  T.  Huddart,  who  has  loaned  his  complete  set  of 
the  Patterns  described  under  76  to  79  inclusive,  illustrations  of  the  entire  series  are 
shown  on  the  plates. 

77 — Ten  Dollars.  Obverse  and  Reverse,  As  those  of  the  Twenty  Dollar  piece,  differing  only  in 
the  exergue  inscription,  showing  the  denomination.  Silver,  copper  and  white  metal. 

78  — Five  Dollars.  Obverse , Head  of  Liberty.  Not  an  imitation  of  the  United  States  Five 
Dollar  head,  but  similar,  with  liberty  on  the  coronet,  and  thirteen  stars  around  the  border.  Reverse, 
An  open  wreath  inclosing,  in  two  lines,  5 | dollars  The  date  1851  below  the  wreath  and  near  the 
edge.  Around  the  border  san  Francisco  state  of  California  Silver,  copper  and  white  metal. 

79 — Two  and  a Half  Dollars.  Obverse  and  Reverse,  Same  as  those  of  the  Five  Dollar  piece, 
except  that  the  wreath  on  the  reverse  incloses  2£  | dollars  in  two  lines.  Silver,  copper  and  white 
metal. 


It  has  been  said  that  this  series  of  Patterns  was  struck  at  the  San  Fran- 
cisco Mint,  but  their  date  contradicts  the  statement,  for  the  Branch  Mint  did 
not  begin  operations  until  1854,  and  Pattern  coins  are  never  struck  at  Branch 
Mints,  but  exclusively  at  the  parent  establishment  at  Philadelphia.  Wherever 
they  were  struck,  they  are  the  most  interesting  set  of  Patterns  and  have  the 
most  artistic  design  of  any  of  the  California  private  issues. 

AUGUSTUS  HUMBERT. 

1851. 

80  — Fifty  Dollars.  Obverse,  An  eagle  standing  on  a rock,  holding  the  United  States  shield 
and  having  a ribbon  in  his  beak.  Above  is  a scroll  bearing  the  inscription,  thous.  Around  the 
central  device  and  near  the  edge  is  united  states  of  America  d c dwt  grs.  The  edge  is 
lettered  Augustus  Humbert  assayer  of  gold  California,  united  states  1851  wright  fec. 
Reverse,  Engine-turned,  or  lathe-work.  Octagonal.  Bronze. 

One  struck  in  bronze,  and  said  to  be  unique,  brought  $12  at  the  Bnshnell  sale. 

It  is  quite  probable  that  the  dies  for  this  and  also  81  and  82  were 
cut  by  the  well-known  engraver,  C.  C.  Wright,  of  New  York  City. 

81 — Fifty  Dollars.  Obverse  and  Reverse,  Similar  to  those  of  the  last-mentioned  Fifty  Dollar 
piece,  but  the  edge  is  not  lettered.  Octagonal.  Bronze. 

This  was  struck  in  bronze,  and,  like  the  preceding,  is  thought  to  be  unique  ; it 
brought  $12.50  at  the  Bushnell  sale. 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


io5 

At  the  Woodward  sale  of  March  20-25,  1885,  a “ unique  trial  impression 
from  the  dies  of  the  California  octagon  Fifty  Dollar  piece  — Reverse,  Lathe 
work  ” — was  sold.  The  description  is  too  meagre  to  enable  us  to  identify 
this  Pattern  with  any  one  of  several  pieces  which  might  have  been  struck 
later  from  the  dies. 

82 — Ten  Dollars.  Obverse,  As  the  first  issue  of  the  Ten  Dollar  piece  (18)  struck  by  Humbert; 
an  eagle  with  head  to  right,  wings  displayed,  his  right  talon  grasping  the  National  shield,  and  his  left 
holding  an  olive  branch.  Above  the  eagle  a ribbon-scroll  on  which  is  the  fineness,  884  thous.  ; 
united  states  of  America  above  and  ten  dols.  below.  Reverse,  Engine-turned,  the  field  divided 
by  a label  or  tablet,  on  which,  in  four  lines,  the  words,  AUGUSTUS  Humbert  | united  states 
assayer  | OF  gold  California  | 1852.  Bronze. 

This  was  struck  in  bronze,  and  brought  $i  i at  the  Bushnell  sale. 

1852. 

83  — Fifty  Dollars.  Obverse , Within  a beaded  circle  an  eagle  holding  a ribbon  in  his  beak,  a 
shield  in  his  right  and  an  olive  branch  in  his  left  talon.  Above  the  eagle,  on  a label  with  the  ends 
turned  outward,  900  thous.  Surrounding  the  device,  united  states  of  America  and  at  the  bot- 
tom, fifty  dollars  Outside  the  circle,  near  the  edge,  united  states  assay  office  of  gold 

san  Francisco  California;  the  date  1852  at  the  bottom.  Reverse , ? Octagonal,  and  very 

similar  to  19. 

This  was  undoubtedly  a Pattern  made  by  Albert  Kiiner,  and  has  his  name  in  very 
small  letters  under  the  eagle.  The  dies  were  supposed  to  have  been  destroyed  in  the 
San  Francisco  fire,  but  the  obverse  was  afterwards  rescued  from  junk  that  had  been 
taken  to  Los  Angeles.  Impressions  of  the  obverse  die  on  very  thin  silver  and  brass 
planchets  were  struck  ; it  was  also  used  on  a silver  spoon,  and  is  still  extant.  It  is 
supposed  that  it  was  intended  to  use  with  this  obverse  the  usual  engine-turned  reverse 
device,  but  there  is  no  known  example  showing  both  sides. 

1853. 

84 —  Twenty  Dollars.  Obverse,  From  the  reverse  of  Humbert’s  regular  Twenty  Dollar  piece 
of  the  year.  Reverse,  Blank.  Lead,  and  unique. 

Examples  of  this  and  the  three  following  numbers  are  in  the  Joseph  C.  Mitchelson 
collection,  in  the  Connecticut  State  Library,  Hartford,  Conn. 

85 —  Ten  Dollars.  Obverse,  Similar  to  the  regular  obverse  of  the  denomination  of  the  year. 
On  a scroll,  above  the  eagle,  thous.  Reverse,  Blank.  Lead,  and  unique. 

86 —  Ten  Dollars.  Obverse,  Similar  to  the  regular  reverse  of  the  denomination  of  1853,  show- 
ing the  engine-turned  device.  Reverse,  Blank.  Lead,  and  unique. 

87  — Five  Dollars.  Obverse,  Similar  to  that  of  85,  and  a similar  scroll  above  the  eagle,  with 
thous.  Around  the  border,  united  states  of  America  five  d.  Reverse,  Blank.  Lead,  and 
unique. 


io6 


PRIVATE  GOLD  COINAGE. 


These  four  pieces  (84-87  inclusive),  and  also  88,  89  and  90,  under  Moffat  & Co., 
following,  are  simply  uniface  trial  impressions  from  single  dies.  The  space  before 
thous.  on  the  dies,  denoting  fineness,  was  to  have  been  filled  with  the  proper  figures 
later. 


MOFFAT  & CO. 

88  — Ten  Dollars.  Obverse,  The  head  of  Liberty,  the  same  as  that  which  appears  on  the  other 
coins  of  Moffat  & Company.  Undated.  Reverse, ? 

89 — Ten  Dollars.  Obverse,  Eagle,  similar  to  that  on  the  reverses  of  the  regular  United  States 
coins.  Around  the  border,  san  Francisco  California  ten  d.  Reverse,  Blank.  Lead,  and  unique. 

In  the  Mitchelson  collection,  at  Hartford.  This  was  apparently  intended  to  be 
used  as  the  reverse  of  the  foregoing  obverse,  88,  of  which  no  impression  in  metal  is 
known,  the  engravings  being  made  from  plaster  casts  taken  from  the  original  dies. 

90  — Five  Dollars.  Obverse,  Similar  to  obverse  of  89,  but  around  the  border,  san  francisco 
California  five  D.  Reverse,  Blank.  Lead,  and  unique.  In  the  Mitchelson  collection. 

The  foregoing  (83-90  inclusive)  are  all  from  dies  which  are  now  in  the 
Philadelphia  Mint  cabinet.  They  possess  a very  interesting  character,  as  they 
indicate  it  was  the  intention  of  the  Assay  Office  to  issue  denominations 
which  were  never  struck  in  gold,  or  at  least  are  unknown  in  that  metal.- 
84,  85  and  86  represent  trial  pieces  from  the  regular  dies  that  were  adopted, 
and  from  which  the  coins  of  the  year  were  struck,  but  87  shows  that  dies  had 
been  prepared  to  strike  coins  of  the  denomination  of  Five  Dollars,  if  per- 
mission had  been  granted  by  the  Treasury  Department ; but  so  far  as  known, 
no  coin  of  that  denomination  was  struck  in  gold  at  the  Assay  Office.  89  and 
90  are  evidently  impressions  from  dies  for  a private  issue  by  Moffat  & Co., 
and  probably  prepared  some  time  in  1853,  when  the  Twenty  Dollar  piece 
(26)  bearing  the  stamp  of  Moffat  & Co.  was  issued ; the  similarity  of  design 
would  seem  to  show  that  that  firm  also  intended  to  strike  Five  and  Ten 
Dollar  pieces  at  the  same  time,  but  no  impressions  in  gold  of  either  are 
known,  and  it  is  not  believed  that  any  were  made.  The  history  of  these 
dies  is  not  known,  but  it  is  probable  that  they  were  sent  to  Philadelphia 
from  San  Francisco  in  1854,  when  the  Assay  Office  became  the  San  Francisco 
Branch  of  the  United  States  Mint. 

WASS,  MOL1TOR  & CO. 

91  — Twenty  Dollars.  Obverse , Small  head  of  Liberty  with  w.  m.  & co  on  the  coronet,  etc.,  as 
obverse  of  5 1 . Reverse,  As  reverse  of  5 1 . Copper. 

This  is  a trial  piece  struck  from  the  regular  dies  of  the  Wass,  Molitor  & Co.’s 
issue  of  the  denomination  in  1855.  A specimen  is  said  to  be  owned  by  W.  W.  Kauf- 
mann,  of  Marquette,  Mich. 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


107 


92  — Twenty  Dollars.  Obverse , Large  head  of  Liberty,  as  on  the  regular  United  States  Double 
Eagle;  w.  M.  & CO.  on  diadem;  around  the  edge  thirteen  stars,  and  the  date  1855  below.  Reverse , 
An  eagle  with  outstretched  wings,  shield  on  breast,  a large  olive  branch  in  his  right  talon  and  three 
arrows  in  the  left ; above,  on  a label,  the  ends  turned  backward,  900  thous  Around  the  device,  san 
francisco  California  above,  and  twenty  dol.  below.  Reeded  edge.  Lead. 

This  design  is  distinctly  different  from  the  gold  piece  of  the  same  denomination 
struck  by  Wass,  Molitor  & Co.  (51),  and  the  above  is  the  only  impression  known  in  any 
metal.  It  is  illustrated  through  the  kindness  of  H.  O.  Granberg,  its  present  owner. 

KELLOGG  & CO. 

93 —  Fifty  Dollars.  Obverse , Head  of  Liberty  surrounded  by  thirteen  stars;  the  date  1855 
below.  Reverse , An  eagle  with  scroll,  etc.,  and  legend  as  on  54.  Edge  reeded.  Copper. 

This  is  a trial  piece  from  the  regular  dies  of  the  denomination  as  issued  by  Kel- 
logg & Co.  (54),  which  has  already  been  illustrated.  An  example  sold  for  58  at  one 
of  Low’s  sales  in  1903.  One  in  proof  condition,  bought  by  Henry  Chapman  for  $15, 
is  said  to  be  now  in  the  collection  of  George  H.  Earle,  of  Philadelphia. 

94 —  Twenty  Dollars.  Obverse  and  Reverse,  From  the  dies  of  one  of  the  1854  or  1855  pieces 
issued  by  Kellogg  & Co.  Copper. 

An  uncirculated  specimen  brought  5i.io  in  the  Parmelee  sale,  where  the  descrip, 
tion  given  is  not  sufficiently  complete  to  identify  it  certainly  with  either  of  the  four 
Kellogg  issues  in  gold  of  this  denomination  (52,  53,  55,  56).  Its  present  ownership  is 
unknown,  and  there  is  a possibility  that  this  and  that  next  described  are  the  same. 

95  — Twenty  Dollars.  Obverse , Head  of  Liberty  to  left,  and  one  of  the  best  of  the  various 
heads ; on  the  coronet,  Kellogg  & CO.  Around  the  border  thirteen  stars.  No  date.  Reverse , A 
close  imitation  of  the  regular  United  States  Double  Eagle,  as  on  52  and  53.  Copper. 

An  uncirculated  impression  from  these  dies,  struck  in  copper,  brought  $17  in 
Elder’s  thirteenth  sale  in  1907.  H.  O.  Granberg  has  a specimen  of  the  piece,  in  very 
fine  condition,  which  he  has  kindly  loaned  for  illustration. 


BLAKE  & CO. 

96 — Twenty  Dollars.  Obverse , Head  of  Liberty  to  the  left,  surrounded  by  thirteen  stars;  on 
the  coronet,  blake  & co.  Below  is  the  date  1856.  Reverse , An  eagle  similar  to  that  on  the  regular 
United  States  Double  Eagle,  with  a radiated  cluster  of  stars  above  his  head,  the  rays  being  somewhat 
thicker  than  on  others  similar.  Around  the  edge,  above,  Sacramento  California  and  below, 
twenty  d.  Milled  edge.  Brass  and  copper. 

A specimen  catalogued  as  struck  in  brass,  gold-plated,  and  in  fine  condition,  brought 
$34  at  the  McCabe  sale.  Another,  also  fine,  struck  in  copper,  was  bought  by  a Mr. 
Sherman  for  $2.50,  at  the  Woodward  sale  of  December  10,  18 66,  and  a fine  impression 
in  copper,  probably  the  same  piece,  sold  for  $1.75  at  the  Levick  sale  in  1864.  So  far 
as  is  now  known,  there  are  actually  but  two  of  these  pieces,  one  of  which  is  in  the  col- 


i o8 


PRIVATE  GOLD  COINAGE. 


lection  of  Virgil  M.  Brand  — that  bought  at  the  McCabe  sale  — and  the  other  in  that  of 
Fred.  T.  Huddart,  of  San  Francisco,  which  is  in  copper,  and  we  are  indebted  to  him  for 
the  opportunity  to  illustrate  it. 

This  piece  is  of  special  interest  as  being  the  final  effort  of  a contem- 
plated renewal  of  private  coinage  in  California.  In  1856,  owing  to  the  lim- 
ited operations  of  the  San  Francisco  Branch  Mint,  and  to  the  fact  that  not 
one  of  the  private  assay  offices  was  making  coins,  the  regular  United  States 
money  became  very  scarce,  and  there  was  talk  of  a resumption  of  the  issues 
of  private  bankers,  which  no  doubt  induced  Blake  & Co.  to  prepare  the  dies 
for  a Twenty  Dollar  piece,  from  which  this  Pattern  was  struck. 

Blake  & Agnell  conducted  a gold-smelting  and  assaying  plant  at  52  J 
Street,  between  Second  and  Third  Streets,  Sacramento,  in  1855.  Later  the 
firm  was  composed  of  Gorham  Blake  and  W.  R.  Waters,  and  the  name  was 
changed  to  Blake  & Co.,  under  which  title  it  was  known  from  December  29, 
1855,  until  some  time  in  1859,  when  Mr.  Blake  retired,  and  the  business  was 
continued  by  his  partners  as  Waters  & Co. 

BALDWIN  & CO. 

1850. 

97  — Ten  Dollars.  Obverse,  The  figure  of  a mounted  vaquero  riding  to  right,  with  lasso. 
Below  is  the  date  1850.  Above  is  California  gold  and  below  ten  dollars  Reverse,  An  eagle 
with  expanded  wings;  Baldwin  * co  at  top  between  the  tips  of  the  wings,  and  san  Francisco 
below,  with  five  stars  on  each  side  filling  out  the  legend,  as  on  41.  Various  metals. 

This  trial  piece,  which  undoubtedly  was  the  work  of  Alfred  Kiiner,  follows  closely 
the  issue  of  the  same  denomination  described  under  41,  but  the  dies,  both  of  obverse 
and  reverse,  show  a number  of  slight  variations.  On  41  the  small  s in  dollars  lines 
with  the  bottom  of  the  other  letters,  and  is  followed  by  a period  ; on  this,  the  s is  raised, 
to  line  with  the  top  of  the  others ; on  the  reverse  of  41  the  tip  of  the  eagle’s  right  wing 
extends  to  the  edge  of  the  piece ; on  this,  it  is  not  so  long,  and  differs  slightly  in 
shape  ; a close  examination  shows  other  trifling  differences.  There  have  been  restrikes, 
and  it  is  said  two  impressions  were  taken  in  gold  ; the  obverse  die  was  also  used  to 
strike  souvenir  spoons  before  the  great  San  Francisco  fire. 

1851. 

98 — Ten  Dollars.  Obverse,  Head  of  Liberty  to  the  left,  surrounded  by  thirteen  stars;  Bald- 
win & CO.  on  the  coronet;  the  date  1851  below.  Reverse,  An  eagle  with  expanded  wings,  its  head  to 
the  left ; a branch  of  olive  in  the  right  and  three  arrows  in  left  talon.  Around  the  border  s.  m.  v. 
California  gold  and  the  denomination,  ten  d.  below.  Brass. 

The  only  known  example  of  this  variety  is  that  which  was  catalogued  in  the 
Leavitt  sale,  held  January  9,  10,  1891.  The  dies  are  those  used  for  44. 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


109 


H.  SCHAEFFER. 

99 — Five  Dollars.  Obverse , Around  the  border  at  the  top,  H.  Schaeffer  and  below,  com- 
pleting the  circle,  seven  five-pointed  stars ; on  the  field,  5 over  dollars,  the  last  line  curving  upward. 
Reverse , Inscription  in  four  lines,  the  first  and  last  curving  to  the  border:  California  gold  | 134 
GR  j 21  | carats  Struck  on  a large  copper  Cent  dated  1841. 

This  trial  piece,  which  presents  an  entirely  new  design  for  private  gold 
coinage,  links  the  private  issues  of  North  Carolina  with  those  of  California. 
It  first  came  to  notice  when  S.  H.  Chapman  exhibited  it  at  the  meeting  of 
The  American  Numismatic  Society  in  March,  1912.  It  was  then  thought  by 
the  writer  to  have  been  an  impression  from  the  dies  said  by  Prof.  William  E. 
Hidden  to  have  been  made  by  an  employee  of  the  Bechtler  mint  and  taken 
to  California  in  1849,  with  the  intention  of  striking  private  gold  coins.  Prof. 
Hidden,  who  has  made  a close  study  of  the  Bechtler  coins,  was  shown  the 
piece,  and  pronounced  the  name  it  bears  to  be  that  of  Heinrich  Schaeffer, 
who,  he  was  informed,  had  made  a series  of  dies  and  gone  to  California. 
He  further  said  : — 

This  Mr.  Schaeffer  was  “a  witness  and  if  necessary  an  executor”  of  the  will  of 
Alt  Christoph  Bechtler  (who  died  in  1842).  I learned  at  Rutherfordton  from  a son  of 
Heinrich  Schaeffer  that  his  father  had  a set  of  dies  made  soon  after  the  discovery 
of  gold  in  California,  and  it  was  his  intention  to  hasten  there  and  begin  a mintage 
business  similar  to  that  which  had  been  so  prosperous  under  the  Bechtlers.  This  set 
must  have  been  made  as  late  as  1849  or  1850,  and  some  half  a dozen  years  after  the 
death  of  both  of  the  original  Bechtlers  (Christopher  and  his  son  Augustus).  It  follows 
that  the  old  punches  (of  letters)  were  used  for  the  Schaeffer  dies,  and  the  design  shows 
a continuance  of  the  Bechtler  ideas.  It  seems,  therefore,  that  we  can  look  with  con- 
fidence to  further  discoveries  of  specimens  of  the  Schaeffer  coinage. 

THE  “MODEL”  SERIES. 

100  — Half-Eagle.  Obverse , Within  an  open  wreath  of  olive  is  the  inscription  in  three  lines, 
model  | half  | eagle  At  the  border,  above  the  wreath,  California  and  the  date  1849  at  the  bot- 
tom. Reverst r,  An  eagle  with  outspread  wings,  holding  an  olive  branch  and  three  arrows  in  his  talons. 
Around  the  border  are  thirteen  stars.  Gold  and  brass. 

We  are  indebted  to  H.  O.  Granberg,  who  owns  the  impression  in  gold,  which  is 
supposed  to  be  unique,  for  the  opportunity  to  illustrate  this  piece. 

101 — Quarter-Eagle.  Obverse  and.  Reverse,  Design  same  as  the  foregoing,  with  the  exception 
of  the  denomination.  Brass. 

102  — Dollar.  Obverse  and  Reverse,  Design  same  as  the  foregoing,  with  the  exception  of  the 
denomination.  Brass. 

103 — Half-Dollar.  Obverse  and  Reverse,  Design  same  as  the  foregoing,  with  the  exception  of 
the  denomination.  Brass. 


PRIVATE  GOLD  COINAGE. 


i i o 


MARKERS  OR  COUNTERS. 

There  are  a number  of  tokens,  dated  1847  and  1849,  of  the  size  of  Ten 
and  Twenty  Dollar  pieces,  which  bear  the  name  of  California,  on  one  side 
of  which  is  a large  United  States  flag;  but  these  are  not  patterns  for  gold 
coinage.  They  are  thought  to  have  been  chiefly  used  as  gambling  markers 
for  their  nominal  amounts,  at  a time  when  the  currency  in  California  was 
chiefly  gold  dust.  They  are  very  much  like  the  designs  of  the  United  States 
Eagle  and  Double  Eagle  of  the  period,  and  they  are  usually  found  combining 
the  flag  with  an  imitation  of  either  the  obverse  or  reverse  of  those  coins,  but 
no  specimen  which  has  embraced  both  obverse  and  reverse  devices  of  the 
regular  coinage  has  been  seen,  and  it  is  doubtful  if  any  were  made.  Such 
a piece  would  have  been  a very  close  imitation  of  the  regular  United  States 
coins,  and  undoubtedly  the  Government  would  have  stopped  their  issue. 
Almarin  B.  Paul,  a California  pioneer,  stated  that  when  he  was  in  business  in 
Sacramento  in  1849  he  was  offered  a keg  of  these  markers  or  counters  by 
an  Eastern  concern.  It  is  quite  probable  that  these  and  the  following  were 
all  made  in  the  East. 

There  is  also  a large  token  with  the  design  of  an  eagle  and  steamship, 
and  the  name  California.  No  doubt  this  piece  was  used  for  a similar  pur- 
pose to  the  preceding,  and  cannot  be  classified  with  those  which  were  intended 
to  circulate  as  money. 

Still  another  counter  associated  with  the  California  of  pioneer  days  is  a 
brass  piece  of  about  the  size  of  a Five  Dollar  coin,  showing  a miner  at  work 
on  one  side  and  the  head  of  Liberty  on  the  other.  This  also  was  dated  1849, 
and  is  to  be  included  among  the  markers  or  counters. 


No.  67. 


No. 


4 

< ' - 

68. 


No.  75.  Obv. 


No.  75.  Rev. 


No.  78. 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


\ *2 9^  N jdSCvy 


’&i't‘i"L 


No.  IOO. 


PATTERN  AND  EXPERIMENTAL  PIECES  OF  CALIFORNIA. 


